How German Elections Could Complicate ECB Tapering

The video discusses the potential complications in the ECB's tapering plans due to upcoming Italian elections and political uncertainties in Europe. It highlights the challenges the ECB may face in withdrawing from the market, especially with the German coalition's stance on debt mutualization. The discussion also covers the increased market volatility driven by central bank policies, with a focus on the Fed and ECB's moves towards tighter policies. The impact of G10 elections on market volatility is also examined.

What factors could complicate the timing of the taper story at the ECB?

How might the outcome of the Italian elections affect the ECB's decisions?

What challenges does the ECB face in withdrawing from the market?

In what way is the current volatility in the market related to central bank policies?

How has the perception of elections changed in relation to market volatility over the years?