Reuters quotes the head of Germany's foreign trade association, Anton Boerner, saying he feared the policies of the BoJ would drive the euro-dollar rate up to €1.40, and yet even at this level German exports would remain competitive.

(We think he is probably right, but in that case we should internal eurozone imbalances to get worse, because nobody else's ex-eurozone exports will be competitive under this exchange rate.)

Eurointelligence daily e-mail briefing, my bold.