Market News International reports that the euro indeed is on the agenda of the European finance ministers when they meet on Monday. ECB chief Trichet and Eu economics commissioner Almunia will join the discussion, they report.
Market News reports the ministers likely won’t change their language on EUR strength, restating the G7 language that excess volatility and disorderly movements in exchange rates have adverse implications for economic and financial stability.
EUR/USD is consolidating at 1.4870 amid comments from ECB executive board member Tumpel-Gurgerell that the ECB cannot maintain accommodative monetary policy forever. The time has not yet come for exit strategies though, she says.
Also on the wires is German Economics Minister Guttenberg saying that we must remain vigilant on the potential for a credit crunch in Germany, though he does not see broad-based credit crunch at present.
