The European Central Bank has been slower than most to pull away the monetary rug, but it now stands ready with a key announcement on 21 July. What should we expect as it raises rates and, having stopped net purchases, sets out its stall for reinvesting member governments’ maturing bonds? Can the two levers be used in equal force, or will onus have to be on rate hikes over quantitative tightening to avoid fragmentation risk? What could possibly go wrong? How should asset allocators play it as the ECB is set aside from other central banks, having to manage a monetary union short on economic union? And, after an initial hike in July – the first for 11 years – what might we expect from the 8 September meeting and beyond?
To discuss the issues, Salman Ahmed, global head of macro & strategic asset allocation at Fidelity International, speaks with Neil Williams, OMFIF chief economist.
For more on the ECB’s soon-to-be-unveiled anti-fragmentation tool, see Eight thorny questions over ECB fragmentation. https://www.omfif.org/2022/07/eight-thorny-questions-over-ecb-fragmentation/
Financial stability outlook: risks and resilience
Taking stock: financial market integration in Europe
US dollar dominance: Is there no alternative?
Geopolitical risks: What’s at stake for investors?
Greece’s landmark debt restructuring – What happened and why it matters
The history of dollar dominance and weaponisation
Pre-validation: combatting fraud and minimising errors in payments
Analysing Romania’s landmark debut green bond
Why gender equality in financial institutions is macro-critical
Global public investor outlook 2024: Another ‘rollercoaster’ year?
Safeguarding the future: why organisations need ESG data
Next steps for the EU’s evolution in bond markets
Argentina's sovereign debt litigation disaster
Risk, policy and investment models for transition finance
Establishing a new framework for international climate finance
Navigating the new norm: the long-term outlook for inflation and implications for investors
Unlocking the benefits of smart contracts for retail CBDCs
The International Monetary Fund’s role in Ukraine’s economy and financing
Improving grant delivery and management for emergency responses
Enhancing retail government bond programmes to improve diversification
Join Podbean Ads Marketplace and connect with engaged listeners.
Advertise Today
Create your
podcast in
minutes
It is Free
The Commercial Edge: Unleash the Power of People
The emPOWERed Half Hour
Aligned Money Show
Dubai Property Podcast
IBKR Podcasts
The Ramsey Show
The Clark Howard Podcast