According to the doctrine of central planners, the idea of Q€ is to lower rates to encourage borrowing (and credit creation) to spark growth and kickstart a virtuous recovery. As the following chart shows, that is total and utter crap... French jobseekers just hit a fresh record high and French rates just hit a record low - and that has been the story for 6 years. So - just as The Fed was finally forced to admit, Q€ is nothing more than wealth redistribution from all taxpayers to the ultra-rich asset owners who - it is hoped- will bless the plebeians with some trickle-down-ness... with every asset under the moon already at record highs, once again we ask - just what do you think this will achieve Draghi.
And finally, we have no words for this idiot...
- *Bank Of Italy's PANETTA: ECB QE TO BOOST GROWTH 'SIGNIFICANTLY' OVER NEXT 2 YEARS
Yep - they really believe that.