Speaking at the Marine Money Asia conference in Singapore this morning, Soanes set the scene for the conference with an outline of the state of European finance.
"The speech [by Mario Draghi] marked a pause before the tidal surge begins again," said Soanes, highlighting the effect the announcement had on Italian bond yields, bringing the country back from the brink of insolvency, without a single purchase being made by the ECB.
The ECB's pledge may well be set for a major challenge, Soanes warned, as Angela Merkel's German government moves to judge the validity of the ECB's moves now that the German elections have passed. "They cannot overturn the decision, but they can put in restrictions and raise questions about its effectiveness and its limitations," he said.
If Germany was to find problems with the ECB's methods, any subsequent rise in interest rates could bring Italy back to the brink again, with the threat of significant increases in interest payments should market confidence fall.
Uncertainty also lies ahead in the US, where the Federal Reserve's policy of buying around $85bn of assets every month is set to start easing in the near future, explained Nick Kounis, head macro research, ABN Amro.
The Federal Reserve maintains it has a detailed and well thought out plan, and that they will be communicating this plan for managing the easing of its purchasing policy.
Kounis injected a hint of caution on the US's optimism in the face of untested plans in troubled times, with a quote from that well known shipping finance expert and former undisputed heavyweight champion of the world, Mike Tyson, "Everyone has a plan until they are punched in the face."
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