Austrian Finance Minister Michael Spindelegger stuck to his line of having “no taboos” about how to wind down Hypo Alpe-Adria-Bank International AG after a task force he installed advised against insolvency yesterday.
Austria should set up a so-called bad bank to manage the assets of Hypo Alpe-Adria-Bank International AG rather than pursue a riskier strategy of shuttering the nationalized lender, Austrian Central Bank Governor Ewald Nowotny said.
Here’s what to look for when the European Central Bank’s 24-member Governing Council releases its monthly interest-rate decision for the euro area at 1:45 p.m. and ECB President Mario Draghi holds a press conference in Frankfurt at 2:30 p.m.
Klaus Liebscher quit as chairman of the nationalized Austrian lender Hypo Alpe-Adria-Bank International AG after the government hired a former Morgan Stanley banker to advise on imposing losses on some bondholders.
The Federal Reserve will release minutes from its Jan. 28-29 meeting, the last presided over by former Chairman Ben S. Bernanke and at which policy makers further reduced the central bank’s record stimulus.