The European Central Bank has expressed alarm over the surging euro, accusing the Trump administration of driving down the dollar to gain trade advantage in breach of global accords.
Minutes from the ECB’s policy meeting in January flagged concerns that the overly-strong exchange rate had become unhealthy and “required monitoring”, with doves on the Governing Council clearly worried that the eurozone is still caught in a low inflation trap with no safety buffer against fresh deflation shocks….They are desperate to see inflation rising….’
The BBC’s narrative is that the ‘plunging Pound’ #duetobrexit and so-called high inflation is bad for our economy….wonder how they will spin the EU wanting lower exchnage rates and higher inflation. Note the BBC also always tells us we are suffering terribly from a wage squeeze…with that ‘high’ inflation and low wage rises…and yet always fails to mention the hugely raised tax allowance, the minimum wage/living wage increase, screamingly low interest rates for a decade, and more free child-care. Hardly getting the full picture from the BBC…almost as if they had an agenda to push about the economy.