HM Wilkins Imperial - Gas Price Surge Hits Euro

Hong Kong, Hong Kong S.A.R., August 25, 2022 --(PR.com)-- A recent report by HM Wilkins Imperial revealed that the latest casualty caused by surging gas prices was the Euro Zone’s currency.

This week the euro dropped to its weakest rate in almost two decades as rising gas prices fueled growing concern about economic stability in the region.

The HM Wilkins report showed that the euro’s slump followed in the wake of a surge in gas prices to a nearly record high.

Analysts at HM Wilkins Imperial believe that the astronomical rise in the cost of gas may seriously harm industrial activity in Europe, leaving the region’s economy at a far higher risk of slipping into a recession in the coming months.

Adding fuel to the proverbial fire is the upcoming planned maintenance of the Nord Stream 1 pipeline which will take place in early September.

Mr. Chang Chin Lung, Chief Executive Officer at HM Wilkins Imperial commented, “There are widespread - and perhaps not unfounded - fears that Gazprom will use the planned maintenance of its gas line into Germany as an excuse to throttle the supply of gas to Europe even further and for longer than is necessary.”

The Russian gas monopoly, Gazprom, has already reduced the supply of gas to one fifth of its usual capacity in response to western sanctions against the country for its invasion of Ukraine earlier this year.

The report by HM Wilkins Imperial also pointed to the rise in the greenback as a reason for the tumble of the euro. Analysts expect the US Federal Reserve to hike interest rates in the US more quickly than the European Central Bank plans to in the short term.