Fundamentals versus market sentiments in the euro bond markets: Implications for QE
Indgående analyse
15-05-2017
Despite the partial realignment of European long-term government bonds after the crisis in 2012, there has been some renewed divergence in yields in the last years. We find that the government bond markets in the euro area are highly sensitive to changing market sentiments, both in time and across countries. Our analysis suggests that pulling the plug on QE too soon might undo some of the benefits of QE in the countries of the periphery and may lead to increases in the refinancing costs of member states with little or no fiscal space.
Indgående analyse
Ekstern forfatter
Paul DE GRAUWE (LSE), Yuemei JI (University College London and LSE), Corrado MACCHIARELLI (Brunel University London and LSE)
Om dette dokument
Type af publikation
Nøgleord
- Den Økonomiske og Monetære Union
- divergensindikator
- euroområdet
- FINANSER
- fri kapitalbevægelighed
- investering og finansiering
- kapitalmarked
- langfristet finansiering
- monetære forhold
- obligation
- offentlige finanser og budgetpolitik
- skatkammerbevis
- valutaforhold
- ØKONOMI
- økonomisk konvergens
- økonomisk politik
- økonomisk recession
- økonomisk situation