Axa IM fixed-income head says euro collapse more inflationary than ECB printing euros
It is difficult to foresee borrowing costs for Italian, Spanish or other troubled debt falling permanently with "anything other than the ECB being used as a lender of the last resort", says Chris Iggo
The eurozone falling apart carries more risk of localised inflation than printing money to save it, while recent precedent for quantitative easing from the US and the UK does not suggest immediate links to inflationary expectations, says Chris Iggo, fixed-income chief investment officer at Axa Investment Managers.
The sentiment comes on a day a survey from Germany's Allianz Global Investors found investors in Germany, France, Switzerland and the UK all feared inflation over the coming 12 months
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