Exit strategy is automatic, ECB managing Bini-Smaghi says. It depends on demand for liquidity by the banks (Huh? No exit if banks keep borrowing from the ECB and only the ECB…)
Bini-Smaghi says the markets are adjusting quite well to the ECB exit strategy.
It’s easy to adjust to no strategy. What won’t be easy is the adjustment once the ECB turns off the liquidity tap, expected to be some time early next year.
