Eurozone Yield Spreads Blow Out, It's Another Crisis For Greece and Italy

Once again, the ECB has a crisis on its hands as 10-year bond rates in peripheral Europe widen relative to Germany.

In 2015, when Greece 10-year bonds exploded to nearly 30 percent, then ECB president Mario Draghi (now Italy's Prime Minister) gave a speech announcing "We will do whatever it takes to save the Euro, and believe me it will be enough." 

After the announcement yield spreads plunged. 

Q: What did Draghi do?

A: Nothing!

Seriously, the ECB did nothing. 

Mish 6 June 2022

https://mishtalk.com/economics/eurozone-yield-spreads-blow-out-its-another-crisis-for-greece-and-italy


Euro-zone inflation the gap between the highest and lowest rates among the currency bloc’s 19 members jumped to its widest ever

Bloomberg 2 June 2022

https://englundmacro.blogspot.com/2022/06/euro-zone-inflation-gap-between-highest.html


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