PIMCO Says Short Italian Bonds As ECB Sees "No Need" To Intervene In Italy

Confirming our speculation from yesterday, that unlike 2012 when Draghi unleashed the infamous "whatever it takes", this time the ECB, already saddled with trillions in public and private debt and under a political interference spotlight, will have a much harder time intervening in the market, moments ago Reuters reported that the ECB sees no need to intervene in the Italian crisis, as Italy's borrowing costs were still less than half those seen during the 2010-12 euro zone debt crisis, it sees sees no stress in bank deposits, inbterbank rates or cash auctions, and would not act "on the back of events of just a few days"even as the central bank is keeping a watchful eye on Italy.