Euro drops to 20-year low, falling below a dollar

The euro hit a 20-year low Monday after Russia said it would shut off its main gas pipeline to Europe over what it described as maintenance issues. 

The European Union currency dropped as much as 7% to 98.8 cents, reaching its lowest level since 2002.

 The euro was worth $1.19 when it launched on January 1, 1999, and peaked at $1.60 in 2008. Its record low came in October 2020 when it fell to 83 cents, as COVID-19 was slamming the global economy

On Friday, Russian state-owned Gazprom said it would switch off its Nord Stream 1 pipeline indefinitely, citing the need for repairs.

The pipeline supplies much of Western Europe with natural gas, and experts warn that energy shortages will hurt Europe's economy and put more pressure on the euro. 

"The U.S. economy is slowing, but it is doing so at a slower pace versus Europe, which is facing an energy crunch," Gregory Daco, chief economist at global strategy organization EY- Parthenon told CBS MoneyWatch.

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