The euro plunged to three-week lows against its American counterpart on Thursday after the European Central Bank announced an extension to its bond-buying scheme while the U.S. dollar was bolstered by the prospects of tax reform.

The single currency lost more than 1 percent to trade below the $1.1700 benchmark level, sending the pair EURUSD to as low as $1.1695 – the weakest level since October 06^th. The euro lost ground versus all of its major rivals after ECB President Mario Draghi provided details on the central bank’s plan to reduce stimulus.

The central bank decided to slash its bond purchases in half to 30 billion euros a month from January. However, ECB will extend bond buying to at least next September in response to continuously low inflation.

In contrast, the dollar’s demand has been boosted following news that the House passed a measure that would allow the Senate to move forward on a tax reform bill with a majority vote. The support was reinforced after market sources indicated that United States President Donald Trump has narrowed the candidates for the position of next Federal Reserve Chair.

According to a Washington Post report which cited people familiar to the matter, President Trump has narrowed his search to Fed governor Jerome Powell or Stanford University economist John Taylor, which means the incumbent Fed Chairwoman Janet Yellen is out of the race for the top spot at the central bank.

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