Euro rates set to rise today...yet again!

[Rockefeller]

Story

The European Central Bank is set to raise its key interest rates for the sixth time in 12 months today, despite the strong euro and increasing political concern about the effects of a further rise in borrowing costs.

 

[Theo]

The euro is indeed strong but the allocation per capita is lower than the dollar in the US. Rising rates will result in increased debt due to outstanding loans. A higher exchange rate for the euro means less exports, therefore less income, less money to spend.

 

[Rockefeller]

The euro is indeed strong but the allocation per capita is lower than the dollar in the US. Rising rates will result in increased debt due to outstanding loans. A higher exchange rate for the euro means less exports, therefore less income, less money to spend.

Sixth time in 12 months must be a record.

 

[Theo]

Perhaps, for the European Bank. But didn't we have 17 months of steady raise of the rates?

 

[Ian]

The strong Euro is costing me a lot especially whenever I receive payments in dollars for sales in the US. I am ending up with peanuts!! I can only hope that the $ gains its strength as some point!

 

[typist]

I can only hope that the $ gains its strength as some point!

better hedge your bets with options rather than hope.