Eurozone banks vulnerable to global risk repricing, ECB warns

ecb-frankfurt-1
The ECB's Frankfurt headquarters

Political instability could feed into a global repricing of risk that eurozone banks are not well-placed to withstand, the European Central Bank warned today (November 24).

The ECB's latest financial stability review says banks weathered market volatility well recently, but nevertheless they remain "vulnerable".

"The risk [of a sharp repricing] has been present for quite some time, but has been aggravated recently, particularly after the US elections," said ECB vice-president Vítor Constâncio.

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