Euro zone leaders will call on the European Central Bank to go on buying bonds in the secondary market to support the likes of Italy and Spain, according to draft conclusions obtained ahead of a summit on Wednesday…
So the eurozone won’t be relying on the rather meagre EFSF balance sheet after all… maybe. (See below.)
Governments will just use the ECB’s instead. Simple, right?
The thing is, even agreeing that the ECB is the only credible balance sheet left in Europe, we’re not sure why everyone thinks the central bank will agree.
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