The conflict between Russia and Ukraine is making its mark on the world's major currencies, causing the dollar to appreciate to parity with the euro as of Tuesday (12), the first time in two decades.

Thus, for the first time in 20 years, the exchange rate between the euro and the dollar American reached the same value, registering a drop of the euro by about 12% since the beginning of the year.

The fears of recession on the European continent are abundant, fueled by the high inflation and the uncertainty in energy supply caused by Russia's invasion of Ukraine.

The European Union (EU), which before the war received about 40% of its gas through Russian pipelines, is trying to reduce its dependence on Russian oil and gas.

At the same time, Russia has reduced gas supplies to some EU countries and recently cut off the flow on the Nord Stream pipeline to Germany at 60%. Now, the gas import infrastructure in Europe has been closed for scheduled maintenance for the past 10 days.

German authorities fear that the pipeline may not be able to be connected again. The energy crisis comes hand in hand with an economic slowdown, which has cast doubt on whether the European Central Bank (ECB) can adequately tighten policy to reduce inflation.

O ECB announced it will raise interest rates this month for the first time since 2011as the euro zone inflation rate is at 8.6%.

But some say that the ECB is way behind the curve, and that a forced landing is almost inevitable.

Germany posted its first trade deficit in goods since 1991 last week, as fuel prices and general supply chain chaos significantly increased the price of imports, reads CNNBrasil.