‘Bleak’ Market Signs for Global Economy, Warns ECB Hopeful

A leading contender to head the European Central Bank has warned of “bleak” indications about the health of the global economy and said a breakdown in co-operation was paralysing officials’ ability to fight the next crisis, the Financial Times reported. Benoît Cœuré, a member of the executive board of the ECB, said in an interview that markets were sending a “quite alarming” message that was at odds with benign economic data. “The constellation of prices in the bond market paints a picture of the global economy which is very bleak,” Mr Cœuré told the Financial Times. “Central banks should never ignore market signals. They shouldn’t follow them blindly either. “We have to make sense of this diversity between market prices and economic data,” added Mr Cœuré, who is in the running to succeed Mario Draghi when the Italian steps down as ECB president in October. Read more

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