# Flows, not growth fears, drive euro to five year lows-BNP Paribas

> Speculative FX flows, not worsening economic fundamentals, drove the euro to a five-year low below $1.05, according to a BNP Paribas study. About two-thirds of the decline occurred around the daily currency fixings, and the euro was on track for its biggest monthly drop since 2015.

- Date: 2022-04-29 · published 2022-04-29T12:00:00.000Z
- Category: market · region Global · magnitude low
- Page: https://feedsoft.ai/events/8286-flows-not-growth-fears-drive-euro-to-five-year-lows-bnp-paribas
- Commodities: [Euro (USD per EUR)](https://feedsoft.ai/c/EURUSD.md), [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md)

## Why it matters

Dollar strength against the euro lowers the dollar cost of euro-denominated imports and can weigh on US dollar-priced feed commodities. The move looks flow-driven and thinly traded, so it may reverse more readily than a fundamentals-led trend.

## Read by commodity

- DXY: bullish ▲
- EURUSD: bearish ▼

## Sources

- reuters.com: https://www.reuters.com/world/europe/flows-not-growth-fears-drive-euro-five-year-lows-bnp-paribas-2022-04-29/

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