Currency Wars: now Germany concerned with monetary impact of QE2
German Economy Minister Rainer Bruederle said on Thursday he was concerned at U.S. efforts to stimulate growth by injecting liquidity into its struggling economy.
I view that not without concern," Bruederle said, adding that a variety of measures were needed to solve the problem and it was not enough to pump in liquidity alone.
Bruederle also said there was some truth to the criticism that the United States was influencing the dollar's exchange rate with monetary policy and voiced concern about increased protectionism in different forms around the world.
Bruederle said China had been criticised for having an undervalued currency but Beijing argues that U.S. monetary policy is also artificially influencing its currency. The German minister said there was some truth to that.