The paper analyzes the integration of euro area sovereign bond markets during the European sovereign debt crisis. It …

supervision. Central bank communication will constitute a central policy tool for that purpose. The paper asks how such … communication will affect financial markets, exploiting the fact that many central banks have had some financial stability role in … times, but can have a substantially larger effect during periods of financial stress. Moreover, central bank communication …

private agents to be successful--and much of this communication is channeled through the media. This is especially true for … information communicated by the ECB. There are, however, also indications of a critical monitoring role assumed by the media …