Economics

ECB Buying Italian Bonds in Bid to Halt Market Rout

  • Schnabel says intervention needed if transmission at risk
  • Reports suggest ECB has stepped in through Bank of Italy
European Central Bank headquarters in Frankfurt.Photographer: Alex Kraus/Bloomberg
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The European Central Bank has stepped up purchases of Italian bonds in an attempt to stabilize the market amid a selloff because of the coronavirus pandemic, according to an Italian official.

The purchases, via the Bank of Italy, are for a very significant amount and will continue for as long as needed, the official said, asking not to be named discussing confidential operations. An ECB spokesman declined to comment.