The euro fell to its lowest in last five weeks on Thursday as the European Central Bank announced reduction in key interest rate while the Bank of England decided to go for more monetary stimulus measures. Investors were hoping that the ECB would increase its bond purchases but an opposite decision was announced which created panic among investors for the single currency.

The People’s Bank of China also announced additional quantitative easing measures. Senior currency strategist, Michael Woolfolk from the Bank of New York Mellon commented, “Following this morning’s actions by the ECB and the BOE, it is difficult not to be bullish on the near-term prospects for the U.S. dollar amid ongoing crisis in Europe.”

The dollar index DXY which tracks the greenback’s movement against its major six rival currencies gained to 82.826 on Thursday as compared to 82.132 on Wednesday’s North American trading session.