Germans Are Turning Sour On Currency Union

Jurgen Stark quit his job on the ECB board effective Friday. He was the member representing Germany. Like many people in that land he doesn’t approve of the central bank’s expanding role in the EU economy. During his tenure there he was the ECB’s most skeptical voice about buying up Greek, Portuguese, and Italian bonds.

His resignation jolted the markets both in Europe and the United States. It caused the euro’s biggest one day drop in two months down to $1.36, the lowest since February.

You might object that Jurgen Stark is just one man. But investors fear he represents the mood of Germany. And without Germany the ECB couldn’t survive.