Exchange rates: a race to the bottom
Trying to predict how exchange rates will evolve during the rest of the year is a futile exercise. For different reasons, the world’s major central banks are all doing their best to weaken their own currencies.
<i>In the United States, the Federal Reserve is having second thoughts about resetting its monetary stance to neutral, fearing that anything less than reckless Keynesianism might choke an underperforming economy. The European Central Bank is making no secret that its policy is to kick the can down the road, propping up banks’ overloaded balance sheets and mountainous piles of public debt. Meanwhile, the Chinese hope to cushion their slowing economy by l...
- Report is targeted to the decision makers in cross country manufacturing – suppliers, manufacturers, logistics.
- Also considered useful for the administrative university facilities, to better understand the possible effects of current decisions.