by Damian -
“It is clear that when the euro exchange rate starts to strengthen it creates additional downward pressure on the economy and additional downward pressure on inflation. Both cases aren’t warranted at the moment. We are clearly not very happy at the moment.”
Noyer says everything is on track and there is no need for the ECB to take any of the many possible actions if “prospects deteriorate or its economy is hit by a slowdown elsewhere in the world.”
Meanwhile, Noyer claims a plan is on track for French banks to securitize bundles of small business loans, possibly as early as end-March or April and forming a model for the rest of Europe.
Surely nothing is wrong and this will go off without a hitch. Europe couldn’t still be in the doggy do and not telling anyone that the banking system in Europe is less than fine due to bad debt loans – Shame on them!
Only Time will tell.