Loading…
The euro fell to a five-year low near $1.056 after Russia's Gazprom halted gas supplies to Poland and Bulgaria over ruble payment demands. Investors also worried about a eurozone slowdown, and the dollar gained on safe-haven demand.
Gas supply cuts raise European energy costs and could weaken eurozone growth and feed demand. A stronger dollar also makes US-priced commodities more expensive for euro buyers.
cnbc.comSilvia AmaroApr 27, 2022After 36 past bearish geopolitics events, Euro (USD per EUR) moved a median -1.0% over 5 sessions (22% higher; middle half -1.8% to -0.3%), and -0.7% over 20.
After 89 past bullish geopolitics events, US Dollar (Broad) moved a median +0.5% over 5 sessions (74% higher; middle half -0.0% to +1.0%), and +0.3% over 20.
After 136 past bullish geopolitics events, Natural Gas moved a median +2.7% over 5 sessions (63% higher; middle half -1.8% to +8.8%), and +4.0% over 20.
Moves of each commodity's benchmark from the last close before the event. Historical reads pool past events of the same kind; they describe what happened, not what will. Not investment advice.
Gazprom's gas halt to Poland and Bulgaria raised energy-supply and slowdown risk for the eurozone, driving the euro to a five-year low and boosting safe-haven dollar demand.
Gazprom's gas cutoff to Poland and Bulgaria drove euro weakness and safe-haven USD demand.
