This is because much of global trade is invoiced in US dollar terms. [7] However, leaving it at that is an incomplete assessment of the effect of the Fed’s tightening of monetary policy. Two other points should also be made. First, higher interest rates in the United States will, in time, help to stem the growth of US demand for goods and services.
So those involved in wage negotiations should forget about national price data. A. All price-setters, in particular the social partners, must be conscious that there is a benchmark for the euro area inflation as a whole, which is less than 2%, close to 2%.