The half-truths of Teflon Trichet

On eight points, Jean-Claude Trichet’s evidence to the banking inquiry either raised further questions, conflicted with prior accounts or elided key detail. 1. In July 2008, in a speech celebrating the tenth birthday of the ECB,

Trichet said the euro had been a “source of stability” and the euro area was now “more resilient”, in part because of the growth in cross-border holdings of financial instruments.

The opposite proved to be the case. ...