The euro is currently losing more and more of its value against the US dollar. This is actually not surprising, since the Fed in the U.S. is tightening the interest rate screw and will most likely start reducing its balance sheet soon.

The ECB, on the other hand, continues to adhere to its zero interest rate policy. It's actually understandable that the dollar is getting firmer and firmer.

For investors with a high share of U.S. equities, this is quite nice, since the portfolio increases even if the prices in the home currency remain unchanged. In addition, dividend payments are more generous. But if you want to buy U.S. stocks and don't have any dollars at hand, it's quite expensive.

The U.S. itself does not like the strong dollar either, as it makes exports more expensive.

The question is how to proceed now. Parity, i.e. an exchange rate of 1:1, is still some way off. However, the past has so far always shown that there was a strong bounce when the parity was approached and the euro always increased significantly. I am curious whether it will be the same this time.