Latest study by the ZEW Center for European Economic Research shows that the ECB has been increasingly buying bonds from countries with high levels of public debt
News via Bloomberg.
The study shows that share of government bonds Spain, France, Italy, Belgium and Austria was 59.0% in 2015 purchases, but has increased to 63.3% in 2017.
ZEW says that as a result, the national allocations of the bond purchases have drifted further away from the ECB capital key - which serves as a control parameter for the ECB bond purchase programme.
Of the purchases made in 2017, shares of bonds bought from Italy, France, Belgium and Austria are currently 10% above the level they should be.
Some notes in relation to the ECB's bond buying programme. Not something the market would react upon, but it's one to take note in case any complications arise in the future.
