The euro against the dollar deepens its sharp losses, falling to its lowest level in several months.

The euro-dollar currency pair recorded a strong decline during trading on Wednesday, dropping to its lowest level since early July, as the euro deepened its significant losses against the dollar for the third consecutive session.

The drop in the euro-dollar pair was driven by reports from Reuters today, which showed that members of the European Central Bank are currently discussing the possibility of continuing the interest rate cut cycle below neutral levels.

Thus, these reports reflect the difficult repercussions resulting from the tight monetary policy approach, including weakness in the manufacturing sector, deterioration in economic activity, and declining investor confidence in the Eurozone economies.

In comparison to the greenback, the US dollar still enjoys strong support as confidence grows in the strength of the US economy compared to the Eurozone economies, which have seen a sharp slowdown recently. This situation seems likely to continue until the end of the year and may undermine economic growth in the Eurozone countries.

Regarding trading in major foreign exchange markets today, the euro-dollar pair recorded a decline of 0.30%, trading close to the level of $1.0763, which is the lowest level for the euro-dollar pair since July 3rd.