Here we go again

So both the US & EU printed a lot.

No product was created, yet everyone had a surplus of cash.
When there is a lot of cash & a limited choice, inflation, without a doubt, will follow.

Then why raising the rates so slowly and only now, if it was so clear that such events will follow ?
 
Nobert said:
So both the US & EU printed a lot.

No product was created, yet everyone had a surplus of cash.
When there is a lot of cash & a limited choice, inflation, without a doubt, will follow.

Then why raising the rates so slowly and only now, if it was so clear that such events will follow ?
More...

Because the euro was falling behind the dollar. They have done it twice this year.

Look at the EUR USD pair, a perfect parity. Forced.
 
angrytrader said:
Because the euro was falling behind the dollar. They have done it twice this year.
More...
They could have done this during the September of 2020.

How likely is that this shortsightedness of ECB is , faked/intentional ?
 
Lagarde has no real plan to resume it in short. Because the projected inflation of 2.3% in 2024 (which is way too low because of second rounds effects on wages for example and of course the war could remain for many years here and thus causing high energy prices). Lagarde cannot say if and how much the actions of ECBs rate hikes are included here or not in those 2.3%. So all in all it does not sound hawkish to me. At a glance with the higher inflation and the only goal to calm down inflation as ECBs mandate, Lagarde is doing not enough. So again dovish. From actual level I can imagine easily EURUSD going down another 1000 pips. But prove me wrong.
 
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