European Central Bank Bond Purchases Dwindle


Salon Staff
February 13, 2012 8:54PM (UTC)

FRANKFURT, Germany (AP) — The European Central Bank bought euro59 million in government bonds last week as it again made only modest use of a tool that has supported indebted governments during the eurozone debt crisis.

The purchases announced Monday compared to euro124 million from the week before and euro63 million the week before that.

Advertisement:

The last time the bank bought more than a billion euros in bonds was the week ending Jan. 23, when it bought euro2.24 billion.

The bond purchases helped keep borrowing costs down for Italy and Spain during the worst of the eurozone debt crisis last year.

Since the start of this year, indebted governments have found it easier to borrow thanks partly to another ECB program that provided cheap loans to banks. Some banks used that money to buy government bonds.


Salon Staff

MORE FROM Salon Staff

BROWSE SALON.COM
COMPLETELY AD FREE,
FOR THE NEXT HOUR

Read Now, Pay Later - no upfront
registration for 1-Hour Access

Click Here
7-Day Access and Monthly
Subscriptions also available
No tracking or personal data collection
beyond name and email address

•••


Fearless journalism
in your inbox every day

Sign up for our free newsletter

• • •