Is Trump's Reported Offer to Buy Italian Bonds Possible?

What is one of the limitations of the US Federal Reserve compared to Japan?

• The US Federal Reserve has a very limited mandate.

• The US Federal Reserve can freely swap currencies.

• The US Federal Reserve can purchase sovereign debt from other countries.

• The US Federal Reserve can buy equities.

Why is the US's offer to support Italy considered ironic?

• Because the US is simultaneously tightening its own monetary policy.

• Because Italy is not facing any financial challenges.

• Because the US has no trade relations with Italy.

• Because the US is reducing tariffs on Italian goods.

What is the redenomination risk primarily associated with?

• Germany's economic policies.

• Italy's financial situation.

• Spain's bond market.

• The US Federal Reserve's actions.

What is one of the main focuses of the ECB amidst the current European financial challenges?

• Increasing quantitative easing.

• Raising interest rates.

• Maintaining a commitment on interest rates.

• Reducing the eurozone's budget.

What is keeping the bond spreads wide in Italy?

• The redenomination risk in Germany.

• The US's reduction of tariffs.

• The ECB's completed policies.

• Continued noise from Italy's budget negotiations.