New EU deficit will give strength to the currency war
Donald Trump has concluded, the trade deficit is farther away, as due to the large trigger for the dollar, which makes it attractive for foreign purchases.
Both inside and outside of the United States have risen for four years to 2016, this well because it effectively with their "guns", which caused most of the trade deficit, analysts.
The new President of the United States Government Donald Trump cannot tolerate a strong dollar and averse to the use of nuclear weapons "of protectionism, said Joachim Fels, global economist at PIMCO, he noted that in Europe, Japan, China and several other exporters to respond to let their currencies to rise in order to avoid an escalation of the United States.
Besides the Federal Reserve and urged the Bank of England to the corporate management of the Pacific Ocean and last year the cold Central Bank financial group "currency war". 2016, that central banks of the euro area measures folded from Japanese and Chinese to balance your coin has refuted attempts to limit Federal Reserve interest rate expectations in the second quarter.
"The cold war is not immune in the Open box and measures and is critical," rock Postal Commission convened Wednesday, over-the-Counter market (FOMC), the fed in March, contract language already low on the use of education is to raise the expectations of an interest-rate increase said the fed "in a statement."
In the year 2016, 3.6% of the dollar against a basket of six currencies. At the same time the trade deficit of the United States amounted to 502 000 $2,520,000 in the year 2012 the largest. In addition, the trade deficit with America is 41 years.
Protectionism VS. A weak currency
Promote protectionist policy to reduce the U.S. trade deficit, but also has a negative effect on the availability of other currencies, currencies tend to be weak, making them more competitive.
Four parts, your biggest problem in the United States, national trade imbalance to save the maximum of 16.98% back in autumn 2016 on Mexico accumulated.
Although China and Germany decreased by 6.5% to 3.18% rate. Yen, the only one still active in the soil, in 2016 is accumulated 2.79% ahead.
