Merkel’s parliamentary finance spokesman Michael Meister expressed frustration at moves to weaken the yen. His comments likely set off the latest round of euro selling.
He said Japanese moves on the yen risk retaliation and that Germany may raise the issue with the G20. He added that the problems in the Japanese economy are structural not due to the yen.
“What can Japan’s competitors do? Either we’re all smart and do nothing, or we follow suit and create a spiral that hurts us all,” he said.
He spoke in an interview with Bloomberg.
From a Japanese perspective I wouldn’t be worried about Europe entering into a currency war, the Germans would never go for it.
