At which point do you think the Euro/USD value creates problems?
I've been thinking over $1.50 is the pain point...and if growth slows, at some point the ECB will have to lower rates.
I know that they are not eager to lower rates, as they feel the high euro is creating confidence in the fledgling european experiment..but it's a dilemma. If they allow rates to remain high even while manufacturing suffers and Spain and others start to experience housing downturn,s they could potentially bring about the same tensions through a different route.
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