View from City Road: The Bundesbank's strange timing

Click to follow
The Bundesbank appears to have cut its money market rates yesterday as a sop to French feelings ahead of the Franco-German meetings. If so, it betrays an astonishing but no longer unprecedented insensitivity. Precisely such a reduction might well have been enough last Thursday to lift the pressure on the franc. Its timing yesterday looks like a triumphalist slap in the face.

Comments