What to Expect From the ECB This Week

The transcript discusses the European Central Bank's (ECB) current approach, which favors inactivity and communication over direct action. It highlights concerns about rising bond yields and the associated tightening of financial conditions, which could be problematic for the ECB. The transcript also considers the potential for market volatility if the ECB's messaging is unclear, suggesting that the market may test the ECB's resolve.

Why might aggressive action from the ECB be surprising at this stage?

What does the phrase 'economically insignificant move in bond yields' imply?