Jean-Pierre Jouyet said that during the last G7 meeting (which was on February 10th in Tokyo), that there weren’t any signals from the U.S. representatives, that the States are going to try correcting the current unbalanced situation in Forex.
It looks like the French officials are the ones that are most concerned with the current value of euro, which, according to some of them, is well above its fair level, especially against the U.S. dollar. A slight depreciation of euro would make Eurozone’s and thus French, economies more healthy with increasing competitiveness of the exporting companies.
Jean-Pierre Jouyet, European Affairs Minister of France, is one of such officials. He said that it’s hard to change the prevailing currency trends without a cooperation from such a partner as U.S. He also said that ECB is going to cut the interest rates:
Everyone is in agreement in saying that the strength of the euro is negative for a certain number of industries… The ECB has become reasonable… it is going to cut interest rates, which would be a good thing.
Jouyet is also sure that the current dollar-euro position is not a result of any manipulation from the side of the United Stats, but reflects the certain weaknesses in the American economy.
It’s left for us to guess, when such a rhetoric will make some real action on the Forex market, instead of being just a political talk as it is now.
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