The euro fell and was testing a two-decade low on Monday after Russia’s indefinite closure of its main gas supply pipeline to Europe stoked fears of energy shortages, high prices and a hit to growth, while the US dollar index hit a 20-year high.
The euro touched $0.9903 in early Asia, just above last month’s trough of $0.99005. Sterling hit a 2-1/2-year low at $1.1458.
The pound has also been weighed down by concerns over rising energy costs. British foreign minister Liz Truss said over the weekend she would set out immediate action to tackle rising energy bills and increase energy supplies if she is, as expected, to become Britain’s next prime minister.
