Putting the Pep in PEPP
For now, the European Central Bank’s new €750 billion Pandemic Emergency Purchase Program is the only game in town for ensuring that the eurozone survives the COVID-19 crisis intact. The ECB should strengthen its bazooka to prevent the pandemic from causing even more damage.
https://prosyn.org/DQ6LsnU
LONDON – The European Central Bank’s €750 billion ($818 billion) Pandemic Emergency Purchase Program (PEPP) was hailed at its inception in March as the “big bazooka,” bringing welcome relief to bond markets in so-called peripheral eurozone countries such as Italy, Spain, Portugal, and Greece. But the ECB must strengthen the program to make it truly effective.