Last week the ECB unexpectedly decided to cut interest rates.
This week, the ECB hinted that it could engage in Quantitative Easing at some point in the future.
This of course has the Germans spitting mad.
The Telegraph’s Ambrose Evans-Pritchard wrote about it this week:
Today we have an FT oped pieceby IFO grizzly bear Hans Werner Sinn castigating the ECB for cutting rates at all last week.
We have Bild Zeitung firing off tabloid anathemas over the destruction of German savings by an Italian-controlled ECB.
We had the Bundesbank’s Andreas Dombret saying this morning that the ECB’s near zero rates are posing “risks for financial stability” in Germany.
Meanwhile, here’s the latest cover of a German business magazine Wirtschafts Woche. It pretty much speaks for itself.