ECB Doves Sour Euro Rally With Pushback Against Tapering Bets
- As global central banks tip-toe back to tightening, ECB lags
- Allianz’s Riddell says ECB hikes ‘may never happen at all’
The European Central Bank (ECB) headquarters, right, near the River Rhine in Frankfurt, Germany.
Photographer: Alex Kraus/BloombergThis article is for subscribers only.
The euro’s charge toward a three-year high is stumbling as the European Central Bank quashes expectations that it’s anywhere near paring back emergency stimulus.
The ECB is increasingly expected by economists and investors to extend its elevated pace of emergency bond-buying at a June meeting, even as the continent’s vaccination program surges forward and the economy rebounds. That’s putting a damper on prospects for further gains in the common currency, which has risen about 4% against the dollar from a trough in March.