European Central Bank member Francois Villeroy de Galhau said on Tuesday that US President Donald Trump’s trade tirades dampen economic growth, including for the US, and threaten to undermine financial stability, per Bloomberg.
Key quotes
Trump has signed up the whole world to a “lose-lose game” on trade based on flawed economic arguments.
Trump’s attack on trade to dampen economic growth, including for the US, and threatens to undermine financial stability.
Villeroy called for de-escalation to avoid a spiral of rising tariffs.
It’s more crucial than ever, across the Atlantic, to tell the truth, to fully assess the damage of a trade war, and to open the way for a possible positive dialog.
Market reaction
At the time of press, the EUR/USD pair was down 0.30% on the day at 1.0386.
