Class Knot, a member of the Council of Governors of the European Central Bank, stated today, on Sunday, that he expects that the new customs duties, introduced by President Donald Trump, will lead to rising inflation and increased interest rates in the United States, which will likely weaken the euro. Knot, who is also the head of the Dutch central bank, added in an interview with Dutch television that trade wars cause harm to all sides, and the best reaction to the introduction of duties from an economic point of view is to not do anything.
However, Knot suggests that the countries affected by these measures may react from political considerations.
