A picture is worth a thousand words:
The ECB’s efforts to halt the European sovereign debt crisis have left the bank with a bloated balance sheet that is likely to get a lot bigger. If Spanish or Italian bond yields have another upward spike, expect the ECB to come to the rescue–whether Germany’s Angela Merkel likes it or not.
Is the founder and editor of The Sizemore Investment Letter, a monthly newsletter dedicated to finding superior investments backed by powerful macro trends.