Almost needless to say, the risks of a trade war and Italian (fiscal) politics harming Eurozone sentiment have not disappeared and could easily gain traction in the coming months. However, it would need a severe new euro crisis for the ECB not to bring QE to an end. In this regards, Italian calls on the ECB to extend QE beyond December this year should meet with deaf ears. At next week’s meeting, macro developments and the next round of ECB staff projections should dominate the discussion. This time around, there should be very little impact from changes in the technical assumptions. After some fluctuations over the ... (full story)