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ECB Meeting Comes at a Precarious Time for Markets

Emons, Ben, (2017), “ECB Meeting Comes at a Precarious Time for Markets”, Bloomberg View, 25 April

The recent economic data out of the euro zone is encouraging. Production, manufacturing and confidence are robust, and inflation has stabilized. That’s not to say that there aren’t risks to the downside, such as growing populism, global geopolitical tensions, and uncertainty about sustainability of the economic recovery. To insure against these risks, the European Central Bank, which has a monetary policy meeting Thursday, has the option of boosting asset purchases.

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