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Raising Rates in Europe Isn’t as Simple as It Sounds
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wsj.comInvestors betting on a stronger U.S. dollar can relax: Even if the European Central Bank wanted to aggressively raise interest rates, it has made the job difficult.
The dollar has lost ground against the euro this month, having previously been a rare bright spot for investors, as expectations of interest-rate increases have played catch-up in the eurozone relative to the U.S. The heads of the German and Dutch central banks recently made statements in support of the ECB pushing up borrowing costs in 2022. The latest Bank of America Global Investor Survey suggested that asset managers are turning their backs on the greenback.
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