As euro nears dollar parity, how much further will it decline?

The euro is notching one milestone after another as it drops against major currencies. On Wednesday, it hit a 12-year low against the dollar and many think its descent has further to go.

The fall in Europe's single currency has been dramatic - 25 percent since May, when it traded just shy of $1.40. Back then, companies across Europe openly fretted about the strength of the euro and its impact on their exports.

Such concerns are now more likely to be heard out of the United States or the United Kingdom, which are seeing their currencies rebound against the euro. On Wednesday, the euro fell as low as $1.0557, its weakest against the dollar since April 2003.