EU fantasies of toppling the dollar are totally delusional
A depreciating dollar temporarily helps domestic producers by making imports more expensive.
When combined with tariffs – effectively a sales tax on foreign producers – US industry gets a double boost
For all its grandstanding, the EU remains a disjointed confederation of fiscally sovereign and often deeply divided nations, with no centralised Treasury function to speak of, no banking union and no unified sovereign debt market.
This makes its monetary union acutely vulnerable to existential crisis. Lagarde might think of herself as queen bee, but her powers and reach are remarkably limited.
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