The US Treasury semi annual Currency Report has just been released:
- Concludes that no major US trading partner has manipulated exchange rate
(Switzerland, cough.
China, cough.
New Zealand, cough.)
We’ve waited six months for this? I thought it was a non-fiction work. Stick that in yer Dewey Decimal System.
OK, what else?
- Says Europe faces risk of deflation; actions to boost demand by surplus countries like Germany would help regional economy
- Says ECB actions to boost demand should help combat deflation risks but more policy support may be needed
- Says South Korean won undervalued, authorities should allow it to appreciate further
- Says China intervention in fx markets has apparently decreased but yuan still significantly undervalued
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Actually … if ya wanna split hairs (isn’t that what the internet is for?) … SNB’S Jordan said on the weekend that “have not had to intervene since September 2012″. Well, OK then. Oh, and the ‘temporary’ EUR/CHF limit just celebrated its third anniversary. In geological time, still temporary, sure.
Hey, its all good … “the Treasury turns a blind eye to the blatant currency manipulation in Switzerland.” Just don’t cut off the supply of Toblerone, K?
