We have to pay attention, we know from experience that bond markets are quite good at predicting future economic developments and what's being priced in more and more is the consequence of a clear escalation of trade tensions.

Franck Dixmier

Categorized in : Money

I wouldn’t bet a single euro on the ECB tapering its program, draghi was quite clear in his last press conference that what really matters is looking beyond headline numbers and assessing genuine medium to long term economic developments. The ECB is far from achieving its ultimate objectives of real price stability and inflation of around 2 percent.

We will see a huge negative net supply in July -- around 120 billion euros -- and that will bring relief to prices of euro zone government debt.