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Germany’s new finance minister has echoed Chinese warnings <\/a>about the growing threat of fresh global asset price bubbles, fuelled by low US interest rates <\/a>and a weak dollar…<\/p>\n Speaking at a banking conference in Frankfurt on Friday, Mr Schäuble said it would be “naive” to assume the next asset price bubble would take the same guise as the last.<\/p>\n He said: “More likely today is a scenario in which excess liquidity globally creates a new [sort of] asset market bubble.”<\/p>\n He added: “That low interest rate currencies such as the US dollar are increasingly being used as a basis for currency carry trades should give pause for thought. If there was a sudden reversal in this business, markets would be threatened with enormous turbulence, including in foreign exchange markets.”<\/p>\n Read the whole thing ><\/a><\/p>\n Join the conversation about this story »<\/a><\/p>\n See Also:<\/b><\/p>\n