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How the ECB’s Stimulus Exit Is Ahead of the Fed and Still Behind
Euro-zone monetary policy may be among the world’s most dovish, but the currency bloc is far ahead of the U.S. in phasing out pandemic stimulus, according to UniCredit’s chief European economist. The European Central Bank is set to restore lending conditions, interest rates and the pace of bond-buying to pre-crisis levels in October -- at least a year earlier than the Federal Reserve, Marco Valli, who also heads global research for UniCredit, said in a weekend report to clients. That’s despite ECB President Christine Lagarde repeatedly saying a rate increase is unlikely in 2022 and Fed Chair Jerome Powell ... (full story)