Darkening Peace Talks Weighs on Euro – 12 April, 2022

Thee euro was stuck at a five-week low as prospects for peace talks between Russia and Ukraine seem to stall, while New Zealand’s central bank announced its sharpest rate hike in two decades to curb inflation causing the kiwi to seesaw. The euro dropped to $1.0821 overnight and hovered closely at $1.0835 in the Asian session. Sterling , which has been pegged near $1.30, held at $1.3001. The Australian dollar and Chinese yuan also weakened slightly after a surprise plunge in China’s imports added to investor worries about weakening demand. Against the dollar, the yuan held steady at 6.3661. The yen last stood at 125.60 per dollar. The kiwi flickered as high as $0.6902 after the Reserve Bank of New Zealand lifted its official cash rate to 1.5% with the currency last trading at $0.6811.