Free Trial
AUSSIE 10-YEAR TECHS

(U2) More Stable But Still Fragile

USDCAD TECHS

Trend Structure Remains Bullish

US TSYS

Cautious Risk Appetite Gains Momentum

AUDUSD TECHS

Key Support Still Exposed

US STOCKS

Late Equity Roundup: 2W Highs

Real-time Actionable Insight

Get the latest on Central Bank Policy and FX & FI Markets to help inform both your strategic and tactical decision-making.

Free Access

Lagarde: Can Design And Deploy New Tools To Mitigate Fragmentation Risks

ECB

ECB Pres Lagarde's blog post touches on a potential new tool to mitigate fragmentation risks. Note MNI's sources piece last week pointing out that discussions on such a new instrument are still at an early stage ("ECB Mulls Crisis Tool As Debate Spreads"):

  • Lagarde: "Any future decisions on the balance sheet will have to be consistent with both the evolving medium-term inflation outlook and our pledge to ensure policy transmission – especially as flexible reinvestment of the PEPP portfolio is a tool we have made available to mitigate fragmentation risks."
  • "If necessary, we can design and deploy new instruments to secure monetary policy transmission as we move along the path of policy normalisation, as we have shown on many occasions in the past."
121 words

To read the full story

Why Subscribe to

MarketNews.com

MNI is the leading provider

of news and intelligence specifically for the Global Foreign Exchange and Fixed Income Markets, providing timely, relevant, and critical insight for market professionals and those who want to make informed investment decisions. We offer not simply news, but news analysis, linking breaking news to the effects on capital markets. Our exclusive information and intelligence moves markets.

Our credibility

for delivering mission-critical information has been built over three decades. The quality and experience of MNI's team of analysts and reporters across America, Asia and Europe truly sets us apart. Our Markets team includes former fixed-income specialists, currency traders, economists and strategists, who are able to combine expertise on macro economics, financial markets, and political risk to give a comprehensive and holistic insight on global markets.

ECB Pres Lagarde's blog post touches on a potential new tool to mitigate fragmentation risks. Note MNI's sources piece last week pointing out that discussions on such a new instrument are still at an early stage ("ECB Mulls Crisis Tool As Debate Spreads"):

  • Lagarde: "Any future decisions on the balance sheet will have to be consistent with both the evolving medium-term inflation outlook and our pledge to ensure policy transmission – especially as flexible reinvestment of the PEPP portfolio is a tool we have made available to mitigate fragmentation risks."
  • "If necessary, we can design and deploy new instruments to secure monetary policy transmission as we move along the path of policy normalisation, as we have shown on many occasions in the past."