VIENNA (MNI) – Bond markets have made clear that the Eurozone
sovereign debt crisis has not yet ended, Governing Council member Ewald
Nowotny said Thursday.
Speaking at a conference of the Austrian National Bank, which he
heads, Nowotny said, “Recent developments in international bond markets
indicate that unfortunately, the fiscal problems in the euro area cannot
be considered to be completely solved yet.”
With regard to market reactions during the crisis to the lack of
confidence in fiscal sustainability of Eurozone member countries,
Nowotny said that “the size and intensity” of these “appear to be, in
part, unjustified.”
“In such a sensitive environment, both policy reactions and the
absence of such reactions may lead to sever consequences,” he added.
Frankfurt bureau tel.: +49-69-720142. Email: dbarwick@marketnews.com
[TOPICS: M$X$$$,MT$$$$,MGX$$$,M$$CR$,M$$S$$,M$$EC$]
