(2/23/2015) A rare issue on which the two parties in the US Congress agree is the problem of “currency manipulation,” especially on the part of China. Perhaps spurred by the 2014 appreciation of the dollar and the first signs of a resulting loss of American net exports, Congress is once again considering legislation to attack currencies that are seen as unfairly undervalued. The proposed measures include the threat of countervailing duties against imports from offending countries, although that would be inconsistent with international trading rules.
Category Archives: exchange rates
Currency and Commodity Markets in 2015
(1/1/2015) This is the third and final installment of an interview on the outlook for the New Year.
Part 3. Forecasts for International Currency and Commodity Markets
The ECB’s Unprecedented Monetary Stimulus
After the recent Draghi press conference announcing new measures to ease monetary policy in euroland, I responded to live questions from the Financial Times: “The ECB Eases,” podcast, FT Hard Currency, June 5, 2014 (including regarding my proposal that the ECB should buy dollar bonds).
And also to questions in writing from El Mercurio, June 5:
• Many critics point that these measures do not solve the economic problems of the Eurozone and in that they only benefit the financial markets. Do you agree?