ECB injects billions of euros into countries such as Italy
Between June and July, the ECB injected €17bn into Italian, Spanish and Greek markets, while allowing its portfolio of German, Dutch and French debt to fall by €18bn
The central bank also last month put in place a new transmission protection instrument that can be used in case PEPP reinvestments fail to keep spreads under control. The tool allows the ECB to buy the bonds of any country it deems as facing market pressures outside the economic outlook, at unlimited scale.
FT 7 August 2022
https://www.ft.com/content/b53f2254-9409-432a-9755-62c621e3f552
In 2022, “extreme vigilance” means getting rates back up to zero within four months.
That is still a lenient monetary policy by any definition
John Authers Bloomberg 24 maj 2022
https://englundmacro.blogspot.com/2022/05/ecb-likely-to-exit-negative-rates-by.html
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