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Brussels to impose currency controls
Buwahahahahahaa...EFLThe European Commission is examining the legal basis for 1970s-style exchange controls to stop the euro surging to destructive levels. Economics dictates when a currency gets too highly valued, the host nationâs exports become uncompetitive on global markets. Watch the hands... The euro-zone has borne the brunt of the global realignment. The Chinese yuan is pegged to the dollar, while Japan has capped the yen by buying US bonds. Interesting, also, how a Taiwan straits issue would cause a "flight to quality" [into the dollar] and hold off some of the pain the PRC is experiencing by the 20% depreciation of the dollar this year. Industry leaders in Germany and France say the euro has crossed the "pain threshold" and risks aborting the euro-zoneâs fragile recovery. The latest survey data shows a renewed fall in confidence among French consumers and German retailers. So weâre bankrupting the Euro-zone and using competitive devaluation to bolster our manufacturing sector...ahead of an election year...Cause, effect... "Among the actions that can be undertaken when a member state experiences serious balance of payments difficulties, Articles 119 and 120 EC provide for the possibility to reintroduce âquantitative protective measuresâ against third countries." Shit, meet fan. You wonât have to worry about "currency strength" anymore. I mean, youâll establish "credibility" in the markets... really fast. Posted by: Brian 2003-12-04 |
| http://www.rantburg.com/poparticle.php?ID=22191 |