ECB Doesn’t Know How to Get Out of Negative Rates, AXA's Page Says

The video discusses the structural feature of negative deposit rates in the Eurozone and their potential impact on the banking system. It explores the concept of reversal rates, which can harm banks if rates become too negative. The ECB faces challenges in adjusting these rates without signaling tightening, especially with low inflation and growth. The global economic context, including fiscal stimulus and inflation expectations, also influences central bank policies.

In what ways have negative rates been damaging to the eurozone economy?

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What are the concerns regarding inflation expectations in Europe and the US?

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