Donald Trump forced the hand of the European Central Bank (ECB). For its seventh meeting on a row, it fell, on Thursday, April 17, its interest rates of a quarter of a point, this time at 2.25 %. But, without the trade war launched by the President of the United States, she may have paused, recognizes Christine Lagarde, her president: “A few weeks ago, a number of governors advocated. »»
Instead, American customs duties, which have thrown a “Exceptional uncertainty” On the world economy, the ECB have prompted to loosen a little more its monetary grip. Since June 2024, when interest rates were 4 %, they have almost halved.
The truth, recognizes Mme Lagarde is that the economic fog is practically total. The customs duties imposed by the United States has already increased from 3 % to 13 % on average, but no one knows at what level they will finish. A negotiation period of ninety days opened, ending in mid-July. The president of the Frankfurt Institute recognizes her “Incredulity” Faced with the initial measures of Mr. Trump, as they challenge everything “Common sense” (“Conventional Wisdom”) Regarding world trade.
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Source: Lemonde