$2 croissant… keep the exchange. One euro was worth one US dollar last week (and briefly less) for the first time in decades. Investors have ditched euros as comparatively higher US interest rates strengthen the $, while Russia’s war on Ukraine darkens Europe’s growth outlook. It’s good for American tourists (think: cheaper paella and prosecco): 7X more Americans are taking Eurotrips this year. But a strong dollar makes US exports more expensive (think: pricier Pop-Tarts), which could dampen spending and investing from abroad.
Crypto regulators... mount up. After Celsius' collapse and TerraUSD's implosion, regulators are speaking up. The Fed's vice chair said it's time to establish clear rules for what's permitted in crypto, and both the European Central Bank and the Financial Stability Board (a global regulator) called for stablecoin regs. Meanwhile, the US Treasury's asking for public comment on crypto's risks as it preps a report for President Biden. And as retail investors continue to feel crypto winter's chill, regulatory pressure will likely keep heating up.