The euro retreated around half a percent on Monday from close to 2014 highs against the dollar after the European Central Bank's strongest signal yet that it will act to head off further gains.
Six years of debt and banking crisis have laid bare how countries like Greece, Spain and Portugal suffer from a currency that will not easily fall thanks to the capital rolling into Germany, the Netherlands and other stronger economies.
Yet, aside from regular broadsides from France, ECB policymakers have not focused much attention on the currency's level. With prices falling in many of the bloc's southern states, that seems to be changing.
ECB President Mario Draghi said in Washington on Saturday that "a further strengthening of the exchange rate would require further stimulus". Bank of France chief Christian Noyer hammered home the message on Monday saying: ``The stronger the euro is, the more accommodative policy is needed.''