Euro news: “It’s time to get rid of!” Frexit furious as the bloc’s monetary power drops 77% since 1999 | Politics | News


The purchasing power of the euro has lost 77% since 1999 in Parisian real estate, according to a report by the French daily Le Figaro. In a fierce attack on Brussels, the article was titled “The euro, melting currency, no longer protects neither the consumer nor the saver”.

Sharing the news on Twitter, Generation Frexit leader furiously called on France to leave the euro zone and abandon the bloc’s common currency.

He blasted: “Despite the euro’s disaster for the competitiveness of France and our industry, we were sold the euro with little inflation to protect savers and consumers.

“Even that is no longer true.

“It’s time to get rid of the euro!”

Eurozone government bond yields edged down at the start of a week in which the European Central Bank, the US Federal Reserve and the Bank of England are all expected to meet and possibly signal a tightening in the policy in the face of high inflation.

But the growing Omicron infections in Europe and the United States are complicating matters and are likely to trigger some caution as policymakers on either side of the Atlantic prepare to signal or hint at the end of the measures. the pandemic era.

The Fed is expected to lead the pack with a cut in bond purchases sooner than expected, while the ECB could provide more details on how it will unwind its Emergency Pandemic Purchase Program (PEPP), which is due to end in March.

A Reuters poll of ECB watchers estimates that the ECB will halve the amount of assets it purchases each month from April.

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The yield on German 10-year government bonds, the benchmark for the block, fell one basis point to -0.36% on Monday morning, heading towards last week’s 3.5-month low at -0.406%.

Other high-quality eurozone government bond yields also edged down on that day.

Investors have fallen back en masse on the safety of government bonds since the Omicron variant was announced, pushing yields to their lowest level in months.

German borrowing costs are now 25 basis points (bps) below their October highs.

The Bank of England was due to hike rates later this week, although that is questionable given the rise in the number of cases of Omicron variants in the UK.

Interest rate hikes are in store for a host of central banks in emerging markets, from Russia to Mexico.

U.S. inflation data on Friday kept yields at those slightly higher levels, hitting 6.8%, the biggest year-over-year increase since June 1982.

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