Central banks’ actions, however, can only go so far, as they cannot tackle some of the underlying causes of tensions on the money markets, first and foremost concerns about counterparty credit risk, and the continuing uncertainty on banks’ other funding sources and capital positions.
These countries should use that space to prepare for the future, although it is not for the ECB to tell them how to do it. So Europeans need to carry out their own fiscal agenda, not follow the US?