ECB's Villeroy: Trump tariffs would have limited impact on euro area inflation ...Middle East

A 25% increase in US tariffs in Q2 would have limited impact on euro area inflationBut it could reduce GDP by 0.3% over the course of the full yearTrump is destabilising the multi-lateral systemThat increases risks for financial order and also the climateTrump's strategy is "lose-lose" in the short-term as it also harms the US economy

We'll see how much they would want to shrug it off once we move past the 2 April deadline next week. For now, next month's policy meeting is still up in the air for the ECB.

This article was written by Justin Low at www.forexlive.com.

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