By David Barwick – FRANKFURT (Econostream) – When monetary policy is very loose, further easing can pose threats to financial stability by harming banks more than it helps them, according to a research bulletin published Thursday by the European Central Bank.
14 October 2021
By David Barwick – FRANKFURT (Econostream) – Favourable financing conditions remain essential and the European Central Bank Governing Council is prepared to do as required to achieve price stability, ECB President Christine Lagarde said Thursday.
14 October 2021
By David Barwick – FRANKFURT (Econostream) – European Central Bank Governing Council member François Villeroy de Galhau, freshly nominated to a second term at the helm of Banque de France, delivered a speech on Tuesday in which he staked out a broad array of bold positions:
13 October 2021
By David Barwick – FRANKFURT (Econostream) – The global economic recovery is ongoing but remains subject to considerable downside risks, so policy support should continue, European Central Bank Governing Council member Ignazio Visco said Wednesday.
13 October 2021
By David Barwick – FRANKFURT (Econostream) – European Central Bank Governing Council member François Villeroy de Galhau in a speech on Tuesday said that net purchases under the ECB’s pandemic emergency purchase programme (PEPP) were likely to end in March following the determination that the pandemic crisis had passed.
12 October 2021
By David Barwick – FRANKFURT (Econostream) – Following is the full transcript of the interview conducted by Econostream on October 6 with Maric Post, Director Treasury and Capital Markets at the Belgian Debt Agency:
12 October 2021
- Belgium ‘not pushing to extend’ average maturity of debt portfolio any further
- Belgian debt head Maric Post: ‘we want to stick to a liquid curve up to 50 years’
- Front-loading Belgian debt issuance in 1H is ‘something that suits us well for now’
By David Barwick – FRANKFURT (Econostream) – European Central Bank Chief Economist Philip Lane’s speech on Monday raises the possibility that the ECB is even less inclined to withdraw support than previously thought.
11 October 2021
By David Barwick – FRANKFURT (Econostream) – The economic rebound has outdone expectations and currently higher inflation is mostly transitory, European Central Bank Governing Council member Klaas Knot said Monday.
11 October 2021
By David Barwick – FRANKFURT (Econostream) – European Central Bank Governing Council member Mario Centeno on Monday predicted continued rapid euro area economic growth while warning of risks.
11 October 2021
By David Barwick – FRANKFURT (Econostream) – The European Central Bank remains profoundly unsure about where inflation in the euro area is headed, and while Executive Board member Isabel Schnabel’s speech on Thursday offered an interesting recital of many reasons why, it served to highlight that uncertainty more than to shed any new light.
7 October 2021
By David Barwick – FRANKFURT (Econostream) – European Central Bank Governing Council member Yannis Stournaras on Thursday dismissed the idea that the ECB would start hiking interest rates around the middle of 2023.
7 October 2021
Following is the full transcript of the interview conducted by Econostream on October 1 with Edward Scicluna, Governor of the Central Bank of Malta and member of the Governing Council of the European Central Bank:
6 October 2021
- Avoided tapering because don’t want to commit yet to end PEPP; ‘we’ll do that in December’
- Would view desire to include Greek debt in APP with sympathy, but must examine implications
- ‘All ears and eyes to see whether economic actors are going to contribute to inflation or not’
- ‘Certain countries would mount legal opposition to a flexible APP’
By David Barwick – FRANKFURT (Econostream) – European Central Bank Governing Council member Yannis Stournaras on Monday conceded the strength of the recovery in the euro area and in particular in his native Greece, all while vehemently urging monetary authorities to discount presently elevated inflation and maintain the current degree of accommodation.
4 October 2021
By David Barwick – FRANKFURT (Econostream) – European Central Bank Governing Council member Yannis Stournaras on Monday played down currently high inflation as a ‘temporary jump’ to be disregarded by monetary authorities.
4 October 2021
By David Barwick – FRANKFURT (Econostream) – The policy support of the European Central Bank would continue as long as the economy continued to have a high degree of slack and in particular job markets were not strong, ECB Governing Council member Ignazio Visco said Saturday.
4 October 2021
By David Barwick – FRANKFURT (Econostream) – European Central Bank Governing Council member Mario Centeno on Thursday gave a positive assessment of the European economic outlook while urging that monetary policy support be reduced only gradually and financing conditions kept favourable.
30 September 2021
By David Barwick – FRANKFURT (Econostream) – European Central Bank President Christine Lagarde’s unremarkable contribution on Wednesday to the policy panel of the ECB Forum on Central Banking was probably reflective of the inescapable fact that there remain months to go until the ECB’s next date with destiny, so that for now it is simply waiting and hoping for a bit of clarity to emerge from the fog.
29 September 2021
- Formal commitment by ECB to respect capital key could make markets uneasy
- Possible compromise a declaration of ECB’s determination to ensure policy transmission