Euro Falls As Euro Bond Buying Begins
The euro is losing value, falling by more than 1 percent on Tuesday, a day after the European Central Bank began its bond buying program.
The bond buying program, similar to the quantitative easing undertaken by the Federal Reserve in the U.S., was announced this January, and is aimed at improving economic growth in the eurozone and preventing prices from falling.
The Wall Street Journal reports that the fall in the euro is considered a positive market reaction to the European Central Bank’s move.
“It is early days, but the ECB would be pleased with what’s happened so far. One of the easiest ways to get some inflation is through a weaker currency,” said Paul Lambert, head of currency at Insight Investment, which manages $480.5 billion of assets.
Jason Bellini of The Wall Street Journal joins Here & Now’s Robin Young with details.
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