ECB Financial Stability Review: Brexit not the main concern for EZ financial stability

The ECB's latest Financial Stability Review (FSR), released on Wednesday, revealed that Brexit was not the main concern for Euro-zone's financial stability.

Key points:

   •  The risk of a rapid re-pricing in global fixed income markets is significant
   •  Vulnerabilities remain for Euro-area banks from low rates, high npls and weak profitability
   •  The increasing size of the EZ investment fund sector has the potential to amplify financial stability risks
   •  Most measures of EZ systemic stress remained at low levels over the past 6 months