From the Wall Street Journal (gated):

European Policy Makers At Odds As Eurozone’s Economic Woes Deepen
ECB Concerned Bolder Monetary Policy Won’t Work Without Government Moves to Revive Recovery

It says:

  • A standoff among the European Central Bank, Germany and other eurozone governments is holding back Europe’s quest to revive its flagging economic recovery.
  • The tensions, brewing for months, have sharpened this month as eurozone economic data have deteriorated and threaten to prevent a coherent policy response as Europe’s economy slides toward a third recession in six years.
  • A growing number of policy makers and advisers say a coordinated push is now needed, comprising aggressive new ECB actions, higher investment spending by Germany and European Union institutions, and bolder economic overhauls in France and Italy.

This part … “The tensions, brewing for months” … Yes – this isn’t new news but tensions have “sharpened”.

Draghi was speaking on the weekend. He is to speak again today (from 0300GMT on Wednesday), he may well use the opportunity to reiterate calls for more government action and not to leave it all to the ECB.

Draghi ECB press conference Sept 4

Draghi ECB press conference Sept 4