3 Currencies That Have Seen Crazy Declines

What goes up must come down. But sometimes, those downs can be way too dramatic! Today, we’ll have a look at 3 occasions where currencies have dipped dramatically, after which we’ll give you an update on the key fundamental events this week.

3 of the craziest recent currency drops

2022 hasn’t been a stellar year for many people. Certain currencies aren’t having a ball either. Here are 3 of the biggest losers so far.

#1 Zimbabwe dollar

Zimbabwe reintroduced this local currency in 2019, however, the ZWL has recently started to slide on the black market. The government accused speculators of borrowing Zimbabwe dollars at below-inflation interest rates and using the money to trade in forex, devaluing the currency.

This has forced Zimbabwe’s government to order that banks stop lending to avoid further devaluation.

Before the government announcement, the Zimbabwean dollar was officially quoted at 165.94 against the US dollar but is now trading at an exchange rate of around 360 USD. That’s a 116% increase in under a week. OUCH!

#2 Turkish lira

Last week, the lira hit its lowest level this year. It’s the culmination of a long battle as the currency has shed about 40% of its value during the past 12 months.

At the start of 2022, 1 USD bought you about 13 TRY; just 5 months on, you’d now get about 15.50 TRY for your buck.

Source: XE

The currency has been relatively stable for much of the year, but hit a stumbling block in March when Russia invaded Ukraine. Western sanctions on Russia have since sent energy prices soaring, pushing up Turkey’s already mighty import bill.

#3 Chinese yuan

The Chinese yuan has just had its worst month on record. The world’s second-largest economy is buckling under the weight of yet more Covid restrictions, as the government strives for a seemingly impossible 0 cases goal.

Source: XE

With concerns over lockdowns in 32 major cities and the Chinese government’s close ties with Russia in the wake of the invasion of Ukraine, investors are increasingly looking to move money out of China.

There are pros and cons to a weaker yuan. As it gets cheaper, China’s exports become more competitive. However, a rapid decline in value can lead to investor panic and destabilise the economy, which could have major implications on the global economy.

The yuan is now at its lowest value vs. the dollar since 2005.

We definitely recommend watching the USD/CNY over the next couple of days and weeks!

What about you?

Can you think of any other dramatic dips to add to our list? Tweet us at @_contentworks to let us know!

Top fundamental events this week

There should be a busy week ahead. Here are all the events to look out for.


● EUR — European Commission Spring Forecasts


● GBP — Employment Change (FEB); Unemployment Rate (MAR)

● EUR — GDP Growth Rate QoQ 2nd Est (Q1); GDP Growth Rate YoY 2nd Est (Q1)

● USD — Retail Sales MoM (APR)


● JPY — GDP Growth Annualized Prel (Q1)

● GBP — Core Inflation Rate YoY (APR); Inflation Rate YoY (APR)

● EUR — Core Inflation Rate YoY Final (APR)

● CAD — Core Inflation Rate MoM (APR); Core Inflation Rate YoY (APR); Inflation Rate YoY (APR).


● AUD — Employment Change (APR); Unemployment Rate (APR);

● EUR — ECB Monetary Policy Meeting Accounts


● JPY — Inflation Rate YoY (APR)

Here at Contentworks we closely follow market movements and prep content that we think your traders would love to read. Let’s get you started right here.

Speak soon!

The Contentworks team



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