Europe’s Central Bankers Fear More Turbulence in Testy US Relations
European central bankers at the Jackson Hole symposium expressed concerns about US policy shifts, particularly Treasury interventions in currency and debt markets. They were annoyed that the US did not give customary notice before selling euros to support the yen. They also worried about potential political meddling in Fed swap lines.
Why it matters: This concerns the theme of transatlantic economic relations and the stability of global financial governance.