The fiscal, sovereign , financial and banking strains in the Eurozone are going to remain severe

Nouriel Roubini : The problem is that the ECB is going to do more to backstop the banks and the financial system, but for a number of legal and institutional reasons, the European Central Bank is not going to become a last resort lender for the sovereigns. Unlike the Federal Reserve where there is a dual mandate, growth, inflation and financial stability, the ECB has only one mandate, that of price stability. There are legal and institutional constraints in the willingness and ability of the ECB to play a greater role. Yes, they are going to play a greater role, but the fiscal, sovereign and financial and banking strains in the Eurozone are going to remain severe. There is going to be only partial willingness of the ECB to address them.