During the eurozone debt crisis, European Central Bank policymakers (unlike politicians) have generally resisted the temptation to blame financial markets for its woes. Jean-Claude Trichet, its president, has just made an exception.

Giving evidence to the European Parliament, he warned some investors had an interest in talking up the prospect of “haircuts” – or imposed losses – on Greek and Irish debt. “Investors that are ‘long’ always lose money when you practice these ‘haircuts’. Those investors who are ‘short’ make money,” he said. Read more

Frankfurt-based journalists spent a convivial evening with Jean-Claude Trichet on Monday. After a grilled salmon dinner at the European Central Bank’s headquarters, the ECB president took questions for about an hour. Much of what he had to say was familiar – the misplaced scepticism (especially in the US) before the euro’s launch, the ECB’s success in keeping inflation under control, and so on. Although looking relatively relaxed, Mr Trichet did not let his guard slip. So he refused to comment, for instance, on who might succeed him when his eight-year non-renewable term expires next October.

But he was prepared to be outspoken on the need for further deepening Europe’s economic integration. Read more