A lower ECB rate would give an unfair advantage to the EU, according to Trump

The european central Bank would start lowering interest rates after three years of stagnation, said its president Mario Draghi on Tuesday, a possibility already

A lower ECB rate would give an unfair advantage to the EU, according to Trump

The european central Bank would start lowering interest rates after three years of stagnation, said its president Mario Draghi on Tuesday, a possibility already suggested, but that pushed Donald Trump.

" ALSO READ - The ECB pushes out any rate increase to June 2020

Mario Draghi has announced that the new measures could further stimulate the economy, and this immediately causes a fall in the euro against the dollar, giving them an unfair advantage to compete with the United States," said the impetuous american president on Twitter. The Europeans "are doing it with impunity for years, with China and others," he added, acknowledging once again its international partners manipulate their exchange rates.

The president of the ECB is, however, confined himself to repeating his remarks made at the beginning of June, at the traditional meeting of its institution, but in a climate of speculation became intense around monetary policy in the euro area and the United States. "Further reductions in interest rates and mitigation measures to limit the side effects are always a part of our tools", he said at the opening of the annual seminar of the institute in Sintra, Portugal.

" ALSO READ - The ECB is caught in the trap of negative interest rates

The second mention of this track, in the space of a few weeks, has been dramatically jump in the stock market, while reducing the euro around the 1.12-dollar, and relaxed in the bond market. The borrowing rate on ten-year France has gone for the first time in negative territory on Tuesday, joining the borrowing rate German of the same term.

Updated Date: 19 June 2019, 00:00

Kathleen Lees

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