Doves have strong case against premature ECB tightening

9 September 2021

Central bank is pulling back but needs to convince markets its asset purchase programme will not end too soon.

By Frederik Ducrozet, Senior Strategist at Pictet Wealth Management

This article was published in the Financial Times, Thursday 9 September 2021.

Markets insight

The European Central Bank has signalled a scaling back of its Covid-19 emergency programme of asset purchases, saying it intends to trim its monthly bond purchases for the rest of this year.

Frederik Ducrozet, Senior Strategist at Pictet Wealth Management

But that should be largely irrelevant to market participants by now. What matters is what the ECB does in 2022 and beyond. (...)