Euro hits 11-year low: Will it go below $1?

It is said that the euro can stslabne under one billion US dollars over the next 12 months is growing in currency circles, a day after the European Central Bank (ECB) lowered monetary stimulus to boost the weak economy.

Euro hits 11-year low on Friday, below $ 1.12 for the first time since September 2003. It follows the ECB's decision to pump 60 billion euros ($ 68 billion) per month in the eurozone economy, and everything amid the general elections in Greece this weekend.

"This is not our main view, that we will get to draw or below it, but I am aware that this opinion is a fact that the rate of decline of the euro has accelerated in the last month," said Jane Foley, senior currency strategist at Rabobank in London. "And yes, the risk of further weakening seems to be increasing."

Euro, which throws about 18 percent of its value against the dollar over the past year, fell more than 8.5% over the past 30 days.

Switch to or below the level of one to one against the dollar means additional reduction of at least 11 per cent.

"Differences between the ECB, on BOJ (Bank of Japan) relieve policy more, (US) Federal Reserve ... no matter how much is shortened, the Fed will raise rates before the ECB and the central bank. I think it pushes the euro well below parity next year, "said the foreign exchange expert Marc Chandler CNBC on Thursday.

QE have tended to put downward pressure on the currency and the assumption that the central bank prints money to have to buy bonds and pushed interest rates to be lower.

Speaking at a conference on CNBC, the World Economic Forum in Davos Friday, billionaire investor George Soros said that quantitative easing by the ECB would affect the currency markets.

"The sheer size of the mass injection and duration, and so on, will have a definite influence," he said.

Greece are a factor

Adam Cole, global head of currency strategy at RBC Capital Markets, said that on top of the cash incentive, the prospects of the euro are complicated by uncertainty regarding Greece, which voted for the new government on Sunday.

Victory for the radical left SYRIZA party, which is doing well in the polls, could lead to a clash with international creditors of Athens - European Union and International Monetary Fund, on the terms of its bailout.

All Greek to me: What can happen to vote in weekend

"There is a possibility that Greece can generate not only on election day, but for days and weeks, another major uncertainty will hang over the euro," said Cole.

Recent slide of the euro govri how currency may fall next year. As a result of the policy course of the ECB, Morgan Stanley revised down year-end forecast for evroto- to $ 1.05 from $ 1.12. Goldman Sachs-earlier this month to move forward by one year its forecast for the euro to hit a draw, 2016

Hold on

However, Foley Rabobank said transfer in equality can be stopped if the Fed believes that the US economy will suffer from the strong dollar against the euro and pushed back a possible rise in interest rates.

"We have to look at the Fed and wonder how is happy to allow the dollar to be taken when voltage eurozone weakness," said Foley.