Euro falls below $1.12 for the first time since November 2003

A day after the European Central Bank announced a plan to inject more than a trillion euros into the flagging Eurozone economy, the euro fell below $1.13 on Friday, hitting an 11-year low.

On Thursday, the currency lost over 2% against the dollar, its biggest decline in three years, in the wake of the ECB’s decision to commit to buy government bonds from March until September 2016 to revive the economy and prevent deflation from setting in.

The euro was at $1.1166 in early New York trading on Friday, its lowest since November 2003 and down 0.7% on the day, meaning it could register losses for the sixth consecutive week.

"The reason why the euro sells off on quantitative easing is that this expands the ECB balance sheet they're going to create extra euro liquidity, putting the euro under pressure," said Ian Stannard, head of European FX strategy at Morgan Stanley in London.