I trust that these lagging banking organizations in their own self-interest will promptly revise their systems, both to meet coming revisions in the regulatory capital system and to avoid the market’s criticism as information about more institutions’ systems becomes better known to creditors of banking organizations. Market discipline Indeed, harnessing the market to assist in the process is critical to supervising global financial institutions.
But it seems to me that the exchange rate now reflects the economic divergence that exists between the United States and the euro area better than it did before. Has the ECB exhausted its options with QE? No, the central bank would still be able to act should that turn out to be necessary.