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French Finance Minister Bruno Le Maire told media on Wednesday; the US is undermining international trade talks by blocking the global digital tax negotiations.

Key quotes

“It’s very clear, the United States doesn’t want a digital tax (deal) at the OECD. So they are making obstacles that prevent us from reaching an agreement even though the technical work is done.”

“If the U.S. blockage is confirmed by year-end, we are counting on the European Union to make a formal proposal to tax digital activities in the first quarter of 2021.”

“I have full confidence that Irish Finance Minister Paschal Donohue would live up to a promise to support such a tax, even though Dublin has shot down previous attempts at the EU level.”

Market reaction

The above news has little to no impact on the euro, as EUR/USD clings on to the overnight gains above 1.1800 amid ECB’s optimism on the forecasts and ahead of the bank’s policy decision.

At the time of writing, the spot hovers around 1.1815, up 0.14% on the day.