INTERNATIONAL

U.K. Rules Out Renewed Link to Eurocurrencies: Britain won’t rejoin the European exchange rate mechanism (ERM) this year, Prime Minister John Major said in an interview with David Frost on British television. Major said Britain “can’t go back to the ERM as it is” until the fault lines within it are determined and cleared up. One of the problems he cited is the “disequilibrium” between interest rates and exchange rates in Europe against those in the United States and Japan, which have led Europe to become relatively uncompetitive. Major said it may be necessary to “look at something else,” including closer links between the European currencies and the U.S. dollar and the Japanese yen.