The dollar rose by 1.42% against the euro making one dollar worth €0.9543 after European Central Bank has started its bond buying program.
A strong dollar can hurt US companies’ profits, because in this case they get less from abroad earnings after currency conversions. Furthermore the strong dollar makes it harder for US firms to compete with foreign rivals, who may be able to offer similar products more cheaply, BBC reports.
The case is directly connected with oil and gas business as well. The price of the US oil benchmark – West Texas Crude- fell by 4% to $45 a barrel, hurting shares in the sector.