Europe Awaits ECB Intervention as Markets Watch for Sovereign Yield Spreads to Widen

European markets are reportedly watching for government bond spreads to widen significantly, which could prompt the European Central Bank to invoke its "financial fragmentation" defense and deploy the Transmission Protection Instrument (TPI) to cap yields.
Critics argue that the ECB risks acting as a de facto fiscal bailout facility out of fear that a sovereign debt crisis could threaten the survival of the euro.