| It’s not a currency war if everyone wins. The euro has fallen to near a 12-year low against the dollar this week since the European Central Bank began its long-awaited bond-buying program. The cheap euro is great for Europe: It bolsters exports and thus growth, and raises the price of imports, thereby warding off deflation.
Feelings are more mixed in the U.S. The greenback’s strength against the euro and a host of other currencies will trim U.S. growth, squeeze exports and make it harder for the Federal Reserve to get inflation back up to its 2% target...............................................Full Article: Source
|