ECB Is Capping Bond Yields But Don’t Call It Yield Curve Control

Bloomberg Quint | Jan 20, 2021 at 6:30 AM
  • The European Central Bank is emulating its Asia-Pacific peers by controlling government borrowing costs.
  • It’s different to the so-called yield curve control deployed by the Bank of Japan and Reserve Bank of Australia.
  • It has kept its bond-buying programs legal by imposing limits on what it can buy and for how long, but yield curve control is implicitly limitless.