From the blog: The shifting landscape of Italian politics over the past few weeks is just the latest chapter in a longstanding narrative of political risk and uncertainty that appears to threaten both the eurozone’s economic recovery and the European Central Bank’s monetary policy framework perpetually.

History teaches us that European financial markets respond negatively to any perceived threat to the cohesiveness and evolution of the European project: the EU, European Economic Area or the euro currency itself.

While the very latest developments, at the time of writing, are looking to instil a modicum of calm, thoughts should now be turning to the likelihood of much needed additional reforms within the European financial infrastructure and the next steps regarding the ECB’s policy stance.

Click here to read the full blog post