The European Central Bank for the first time since financial crisis has increased its interest rates which has raised euro to a 15 month high against dollar, accompanied by concern that U. S. is humiliating its currency.

Federal Reserve has made a budget which has kept U. S. lawmakers deadlock along with their plans to buy Treasuries by June to carry faster economic growth, and it has cause dollar to fell for a second week against euro. The yen also reported weaker as the Bank of Japan announced to provide economic incentive to the nation to recover from last month’s earthquake. While Australian dollar strengthens as signs of global growth boosted demand for riskier assets.

On April 1, euro in New York was reported at $1.4237 which has increased by 1.7% to $1.4483. It has reached the highest level of $1.4444 since January 2010. The yen reached 123.08, the weakest since May 2010, 2.6% decline to
122.76 per euro. Japan’s currency lost 0.8 percent to 84.76 per dollar.

The ECB on April 7 raised its key rate by 25 basis points to 1.25 percent.