Some comments by ECB vice president, Luis de Guindos
- The main antidote to the pandemic will not be monetary policy
- But rather government reforms, fiscal policies
- Worried about a two-speed recovery in Europe after the pandemic
The headline makes it sounds like they are ready to wean the market off the current policy measures in place, but I reckon he is just meaning that the ECB stands ready to adjust all of its instruments as necessary to deal with the current economic fallout.
Besides that, the mention of a two-speed recovery across the region is an interesting point. The current set of policy measures may not be suitable for everyone if the crisis only serves to create a bigger divide in economic welfare among the bigger names.
