He strongly rejected the European Commission’s announcement on Wednesday by US President Donald Trump about the undervaluation of the euro against the dollar.
Valdis Dombrovskis, Vice-President for the Euro and Social Dialogue of the Brussels College, stressed the use of the term “underestimation”, because the exchange rate is determined by market forces, and the European Central Bank (ECB) focuses only on maintaining price stability.
Donald Trump shared an article on Twitter on Tuesday, commenting on the fact that it can be attributed to the fact that the EU common currency or other currencies are valued against the dollar, which is a serious disadvantage for the United States.
In his enrollment, the president broke up with the Federal Reserve (Fed), which has played the role of the American central bank, and the basic interest rate is too high and the quantitative tightening is ridiculous.
According to the ECB’s index released on Wednesday, the value of the euro reached a five-month high against the currencies of major trading partners, and has increased by about four percent since early 2017.
The European Commission urged on Wednesday to strengthen the international role of the euro, while stressing that it would not be against anyone.