Prospect of Macron victory next month awakens ECB debate
Political risk has subdued calls for tighter monetary policy, but that may change in a few weeks
Calls for the European Central Bank to tighten its ultra-loose monetary policy are growing louder, as confidence grows that Emanuel Macron will emerge victorious in the French presidential election, which would put to rest fears of France withdrawing from the eurozone.
“Macron’s success in making the second round comes at a stage when the eurozone economy is doing a lot better than people thought it would,” the Financial Times quotes Carsten Brzeski of ING-DiBa as saying. He adds that the ECB could give “a hint” at its June meeting about finally putting an end to its huge asset purchase programme.