CHART OF THE DAY: Goodbye Trichet, The Worst Central Banker In The World

button more charts
button chart prev
button chart next

Jean-Claude Trichet just wrapped up his last press conference has head of the ECB.

Not surprisingly, the market tanked during his speech, as his focus on inflation, and lack of willingness to do more disappointed investors who remain freaked out about the crisis.

This is classic Trichet. We can’t remember a time when the market didn’t tank during one of his press conferences.

And beyond a certain tone-deafness, he also made bad decisions.

In 2011, with the PIIGS crisis worsening, he hiked interest rates because he got spooked by rising oil prices.

It should sound familiar. He did the exact same thing in 2008 as the banking crisis was worsening, focusing on prices, rather than the threat of imminent collapse. That year ended in tears, as this one is.

Here’s the path of what happened in 2008, as he hiked rates into into the peak.

chart of the day, ecb's 2008 interest rate decision, oct 2011

NOW WATCH: Money & Markets videos

Want to read a more in-depth view on the trends influencing Australian business and the global economy? BI / Research is designed to help executives and industry leaders understand the major challenges and opportunities for industry, technology, strategy and the economy in the future. Sign up for free at research.businessinsider.com.au.