Note to Trump: currency war is impossible to win
If Trump's target is China, the rest of the G7 have zero interest in being seen to gang up against Beijing.
30 June 2019 - 05:04
To President Donald Trump, and any other Group of 20 chief thinking about waging a currency war: it's basically impossible to win. That's partly because they don't really happen in practice. If they did, everybody would lose because everyone would play.
The surest way to affect the relative value of an exchange rate is through nudging interest rates up or down. These days, monetary policy among most major economies is so aligned that any one country would be hard-pressed to notch up any kind of victory for very long...
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