BOE ECB FED try to desperately to protect currency value with rate hikes the rate hike the last tool in the central banks toolbox.
Untfortunately it will work only for the FED and for USD but not for UK and EU / EUR and GBP
the USD are reserve currency and oil currency and foreign countries own debt to USA so they need dollars If FED decrease dollars supply but still world need dollars it will make usd sacred like gold,silver or btc in this economical crisis the FED rate hikes really works to increase value of USD
About UK and EU currency value:
But who needs UK and EU currency on global scale?
their own nations off course but that's not enough to create scarity and global demand for EUR and GBP.
So what options UK and Europe have If they want to protect value of EUR and GBP ?
Not so many If compared with Fed USA.
In times like this Eu and UK leaders need to be really creative they need some very innovative ideas and solutions otherwise they could be economically bad and also easy target for russia and maybe even for china.
Topic: Rate hikes and logic currency problems (Read 54 times)
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