ECB's Centeno: There is no way the euro is at risk

• Instruments against fragmentation only to be used in case of need
• Hope that they won't need to be used at all
• We are discussing instruments that allow to bring discipline to the market - that seems to not exist whenever spreads go beyond the fundamentals

As much as the words are powerful, it will be tough for the ECB to have to ensure that the effects of tightening policy is felt evenly across the entire euro area economies. They challenged markets to "test" them and when that happened, they didn't like it. You can't just bring in "fundamentals" without talking about fragmentation risks as well. That's not how it works. Pfft.

EUR EUR The euro (EUR) is the official currency of the European Union (EU) and 19 of 27 member states at the time of writing. It is the second most-traded currency worldwide in forex markets after the US dollar.The euro was originally introduced back on January 1, 1999, having replaced the European Currency Unit. Banknotes and physical euro coins subsequently entered circulation only in 2002.Upon its adoption, the euro replaced domestic currencies in participating EU member states. The rise in its value The euro (EUR) is the official currency of the European Union (EU) and 19 of 27 member states at the time of writing. It is the second most-traded currency worldwide in forex markets after the US dollar.The euro was originally introduced back on January 1, 1999, having replaced the European Currency Unit. Banknotes and physical euro coins subsequently entered circulation only in 2002.Upon its adoption, the euro replaced domestic currencies in participating EU member states. The rise in its value Read this Term