# Euro slides as war in Ukraine stokes fears of inflationary shock

> The euro fell as much as 0.61% against the dollar to $1.086, a fresh 22-month low. The dollar index reached a 22-month high as investors weighed a potential US ban on Russian oil and gas imports. Commodity currencies rose to multi-month highs as oil briefly spiked to multi-year peaks.

- Date: 2022-03-07 · published 2022-03-07T12:00:00.000Z
- Category: geopolitics · region Europe · magnitude medium
- Page: https://feedsoft.ai/events/8258-euro-slides-as-war-in-ukraine-stokes-fears-of-inflationary-shock
- Commodities: [Euro (USD per EUR)](https://feedsoft.ai/c/EURUSD.md), [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md), [Crude Oil (WTI)](https://feedsoft.ai/c/WTI.md)

## Why it matters

A possible Russian energy import ban would tighten global oil and gas supply, raising energy and fertilizer costs that feed through to animal feed production, while a stronger dollar pressures US-priced commodity values.

## Read by commodity

- DXY: bullish ▲
- WTI: bullish ▲
- EURUSD: bearish ▼

## Linked price moves

| Commodity | Date | Window | Change % | z-score | Why linked |
| --- | --- | --- | --- | --- | --- |
| EURUSD | 2022-03-07 | 5 | -3.2% | -3.9 | Euro hit a fresh 22-month low of $1.086 on 2022-03-07 as war-driven inflation fears and a possible US ban on Russian oil lifted the dollar, directly driving the end of the 5-day move. |
| DXY | 2022-03-07 | 5 | +1.8% | 3.1 | On March 7 the dollar index hit a 22-month high and the euro fell to a fresh low on fears of an oil/gas ban, adding to the final-day gain. |

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| EURUSD | 2022-03-04 | [Ukraine war sends euro below $1.10 for first time in two years](https://feedsoft.ai/events/8256-ukraine-war-sends-euro-below-1-10-for-first-time-in-two-years.md) | -0.4% | +0.4% |
| EURUSD | 2022-09-22 | [Euro plummets to a 20-year low amid war in Ukraine](https://feedsoft.ai/events/39804-euro-plummets-to-a-20-year-low-amid-war-in-ukraine.md) | -2.0% | -0.6% |
| EURUSD | 2022-03-01 | [Euro falls to lowest since June 2020 as Russia's invasion of Ukraine picks up](https://feedsoft.ai/events/8259-euro-falls-to-lowest-since-june-2020-as-russia-s-invasion-of-ukraine-picks-up.md) | -3.2% | -2.2% |
| EURUSD | 2022-02-25 | [From euro to EM: Russia's Ukraine war upends market bets \| Reuters](https://feedsoft.ai/events/9834-from-euro-to-em-russia-s-ukraine-war-upends-market-bets-reuters.md) | -0.9% | -1.3% |
| EURUSD | 2022-04-27 | [Euro slides to five-year low on Russian energy supply, slowdown fears](https://feedsoft.ai/events/8287-euro-slides-to-five-year-low-on-russian-energy-supply-slowdown-fears.md) | -1.2% | +0.8% |
| DXY | 2022-02-28 | [Euro slides with U.S. stock futures as Ukraine risks rise](https://feedsoft.ai/events/42879-euro-slides-with-u-s-stock-futures-as-ukraine-risks-rise.md) | +1.2% | +0.5% |
| DXY | 2022-03-04 | [Ukraine war sends euro below $1.10 for first time in two years](https://feedsoft.ai/events/8256-ukraine-war-sends-euro-below-1-10-for-first-time-in-two-years.md) | +0.7% | -0.6% |
| DXY | 2022-09-22 | [Euro plummets to a 20-year low amid war in Ukraine](https://feedsoft.ai/events/39804-euro-plummets-to-a-20-year-low-amid-war-in-ukraine.md) | +1.9% | +1.8% |

## Sources

- cnbc.com: https://www.cnbc.com/2022/03/07/forex-markets-euro-ukraine.html

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.