ECB’s bond buying is hoped to offset a debt glut heading into 2021
Banks are sanguine about the impact on markets, as unwavering central bank support should curb bond-market volatility and cap government borrowing costs in the eurozone
31 December 2020 - 13:03
London — European bond investors are looking to the region’s central bank to absorb a glut of sovereign debt heading to the markets in 2021.
Bond issuance by euro-area nations may total €1.25-trillion in 2021 as they fight the fallout from the pandemic, on par with the record levels reached in 2020, according to ING Group. In addition, the EU itself is set to be a leading issuer, with a landmark stimulus plan that will be financed by jointly issued debt...
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