It is much more likely that it reflects the magnetic attraction of the US at present as a destination for long-term investment. And while that may partly reflect relatively greater flexibility on the supply-side of the US economy, it does not have much to do, as far as I can see, with the introduction of the euro. Of course, whatever the cause, the euro’s weakness complicates the task of monetary policy within the Eurozone. It adds to inflation in itself and amplifies the inflationary effect of the rise in oil prices. The ECB is rightly concerned to ensure that these effects do not feed through into an increase in the rate of core inflation. Given the importance of the Eurozone as far and away our major trading partner, the weakness of the euro, in this case more specifically its weakness against sterling, also, of course, complicates our own monetary policy task in the UK. Looking at the aggregate economic data the UK has had a rather good run now for the past seven or eight years. We have grown fairly steadily quarter by quarter at an average annual rate over that period of some 2¾%, which is well above our longer term trend rate - usually estimated at around 2¼%. Employment has risen steadily so that the number of people employed is the highest on record. And the rate of unemployment is as low as it has been for about twenty years.
Consequently, it would convert the tendency of the region to be negatively contaminated from global developments into an opportunity, a positive impact, in order to achieve high and stable economy growth in the long run. Thank you! BIS central bankers’ speeches  3