Michael Metcalf, UK, Global Head discussed on Bloomberg Daybreak: Europe
Yeah. But Michael, what do you think about the euro's value? Actually, because right now it's briefly touch 1 $21.20 last week right now, as we speak, it's 1.1 87 is the euro overvalued. What But biometrics. It is actually we have ah, pretty, P. P. P s, which is based on online prices. So it's like a Big Mac index. That was many, many book. It's been big. Advance suggests that the bureau is Three years, actually around five or six and overvalued that, yes, I feel the current could open that but its post Overvalued level in around five yeses. It's getting getting more expensive. OK s O. Then what does the bee do next? If deflation is actually looming, because that's the next big quite, you know, that's the currency issue, but there's also just plain old deflation coming. Yeah. I mean, I mean, I think usually I think there is some evidence already. But the era's appreciation has Has contributed to the store and the rise of another country. You certainly fooled. Voting helps on nobody could have a direct help if it just vanished seven years appreciation. But then you know what? We're going back to the Central Bank to which, looking his age You look 70, but that they will find something on the back. Cover it. I think in the current framework, it would simply the speed in potentially Borbon by something like up in the rate of Kiwi and Andi just reaffirming, therefore, guidance because they were aware of which is Be clear in part in the currency market is that you're a fed named as the emissions even more diverse than they had been. Corn might need fear on my You feel that they need to try and bounce that little present thinking, then shows they're also very It's gonna be a fascinating week for the CV. Michael Thanks so much. Michael Metcalf, their global head of macro strategy at State Street, giving us a sense of purpose and overvalued euro on what Christine Lagarde might want to do about that now. Coming up in the next hour of daybreak Europe We're gonna be talking to PWC chief economist Jonathan Gilliam. Fascinating report on the UK going back to work all perhaps not going back to what Caroline? Yeah, exactly at the cost ofthe continued work from home. What would it mean for UK Productivity for the centres of cities is it's a really interesting piece by piece and then also, of course, we'll have more on the markets with Wadley, who's head of shares in mere investment stress. She at Black Rock. Thiss As we get a little closer to the appeared.