The European Central Bank has dropped its long-standing pledge to boost stimulus if conditions deteriorate, signalling the triumph of German-led hawks and marking a major turning point in the eurozone’s monetary regime.
The approaching end to the QE-era pulls away the protective shield for Italy and the high-debt Latin states, and for thousands of “zombie companies” kept afloat on monetary life-support.
Italy is the lynchpin of the euro. If Italy fails, the EZ fails. Stay tuned. The Telegraph
Bundesbank back in charge of ECB, sending shivers through Italy Ambrose Evans-Pritchard