Economics
ECB Officials Ready for Clash of Clans on Next Stimulus Move
- Board members appear to differ on need for preemptive action
- President Lagarde came to ECB promising to build consensus
This article is for subscribers only.
Battle lines are being drawn at the heart of the European Central Bank over whether to add monetary support soon to head off any economic slowdown, or wait for stronger evidence that it’s needed.
Executive Board member Fabio Panetta raised the prospect of a preemptive burst of stimulus last week when he said “the risks of a policy overreaction are much smaller than the risks of policy being too slow or too shy.”