…that if the Bundesbank did not protest the Securities Market Program so vociferously, their man would now be at the helm of the ECB?
Bundesbank president Axel Weber was fully expected to take charge at the expiration of Trichet’s term. Instead, he resigned in protest over the bond-buying program which opened the door to put –gasp–an Italian in control of the ECB.
Mario Draghi has proven to be much more adventurous on the policy front that Weber likely would have been.
In the end, the Bundesbank was outvoted on policy, sent a strong signal of protest, but ceded control of the institution in the process.
Turns out, as far as the inflation-phobic Germans are concerned, a lose-lose proposition all around.
