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Back Towards The Day's Lows

EGBS
  • EGBs have traded back down towards the lows of the day ahead of the Chicago PMI release and returning to the range that was carved out following the higher than expected French and Spanish CPI prints published this morning.
  • There has been minimal change to implied expectations for ECB policy rates at the March meeting, with 50bp almost fully priced. However, further out along the curve, the implied terminal rate has edged up 10bp.

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