Worries Over Stronger Euro
Worries Over Stronger Euro

Worries Over Stronger Euro

Worries Over Stronger Euro

Ever since December last year, when it reached its low point, almost at parity with the dollar, the euro has not stopped rising. At the beginning of 2017 it was around $1.04: on Tuesday it managed at one point to break through the 1.20 threshold. The single currency’s sharp appreciation is causing concern in Europe, given that a very strong euro is not what the region’s economy needs at the moment, theconrer.eu reported. A strong euro makes exports more expensive and, as it makes imports cheaper, puts at risk the ECB’s plans for inflation to reach 2% (now at 1.5%) in the eurozone. In this respect, an economic think tank has predicted that “the euro’s appreciation would justify cutting estimates for inflation by between 30 and 40 basis points in 2018 and 2019.” Apart from the fact that the strong euro could drag on growth in the eurozone, something which explains the stock markets’ apathy over the last few months. The same think tank has evaluated the impact on GDP of the strong euro at between 20 and 30 basis points.


Short URL : https://goo.gl/Lk2eJZ
  1. https://goo.gl/2h5dhp
  • https://goo.gl/wReSuK
  • https://goo.gl/Jv6z2S
  • https://goo.gl/CqR6om
  • https://goo.gl/S1qjz6

You can also read ...

Norway CB to Develop Digital Currency
Norway’s central bank, Norges Bank, is considering developing...
Higher oil prices mean more money in the oil industry’s pockets and that will spillover into wages, jobs and tax revenue.
Canada’s economy continues to show signs of strength, but not...
Exports of cloth, cotton yarn and  value-added textiles make up almost 60% of the total exports.
Businessmen in Pakistan have expressed concern over the...
Fraud, Money-Laundering on the Rise in Singapore
Over a third of Singapore businesses said they were hit by...
Corporate Japan Learns to Boost Profitability
Japanese listed companies continue to improve their ability to...
Opening up the automobile sector to foreign firms put an end to a “protection period” for domestic brands.  The picture shows Tesla enters China’s domestic car brands.
The constant widening of opening up in China's manufacturing...
Fake Ramadan Discounts in Sharjah
Commercial outlets and shops with fake promotional offers and...
Vietnam Trade, Service Sectors Need Revision
The development of wholesale and retail infrastructure in...

Add new comment

Read our comment policy before posting your viewpoints