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Article: Rate cuts in Europe and Japan can't come too soon. (interest rates)
- Article from:
- American Banker
- Article date:
- July 22, 1993
- Author:
CopyrightCOPYRIGHT 1993 SourceMedia, Inc. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)
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At the Tokyo summit, the heads of state of the G-7 countries put their signatures to an economic communique that contained all the correct positions on a number of topics - growth, trade, and interest rates, among others.
The need for lower rates was expressed more vigorously than usual - aimed, one assumes, mainly at Europe and Japan.
The question is, how is this message heard by the central banks that control interest rates in the key countries - some of which, like the German Bundesbank and the U.S. Federal Reserve, are quite independent of their governments.
Interest rates in key foreign markets have been declining for some time now, and ...