JPM's Kelly Says QE and Negative Rates Are 'Poisonous' to Europe

The transcript discusses the challenges faced by banks in adapting to financial pressures, particularly in Europe where the economy heavily relies on bank loans. The speaker criticizes the European Central Bank's (ECB) policy of maintaining negative interest rates, arguing that it harms the banking system and slows economic growth. They advocate for a shift to positive interest rates to boost confidence and support the economy.

What does the speaker suggest about the relationship between interest rates and the health of the European economy?

In what ways could moving to positive interest rates benefit the banking system in Europe?