Free Trial
SILVER TECHS

Corrective Bounce Extends

MARKET INSIGHT

What to watch

WTI TECHS

(N2) Short-Term Trend Needle Points North

HUNGARY

USDHUF Approaching 360 Support

GILTS

Opening calls

Real-time Actionable Insight

Get the latest on Central Bank Policy and FX & FI Markets to help inform both your strategic and tactical decision-making.

Free Access

BTPs Responding To ECB Hike Pricing, NOT Broader Risk-Off

EGBS

BTP spreads continue to fall alongside ECB rate hike pricing: despite ECB rhetoric this week seemingly cementing a July hike, OIS implied end-2022 ECB rates at 19bp, low of 17bp today (lowest since Apr 28th) and off 35bp highs last week.

  • 10Y BTP/Bund coming down from the recent peak above 200bp as well, last 184bp.
  • The accompanying chart confirms that correlation is alive and well - with BTP risk spreads defying the broader risk-off that has gripped markets in the past week.

Source: BBG, MNI

Keep reading...Show less
96 words

To read the full story

Why Subscribe to

MarketNews.com

MNI is the leading provider

of news and intelligence specifically for the Global Foreign Exchange and Fixed Income Markets, providing timely, relevant, and critical insight for market professionals and those who want to make informed investment decisions. We offer not simply news, but news analysis, linking breaking news to the effects on capital markets. Our exclusive information and intelligence moves markets.

Our credibility

for delivering mission-critical information has been built over three decades. The quality and experience of MNI's team of analysts and reporters across America, Asia and Europe truly sets us apart. Our Markets team includes former fixed-income specialists, currency traders, economists and strategists, who are able to combine expertise on macro economics, financial markets, and political risk to give a comprehensive and holistic insight on global markets.

BTP spreads continue to fall alongside ECB rate hike pricing: despite ECB rhetoric this week seemingly cementing a July hike, OIS implied end-2022 ECB rates at 19bp, low of 17bp today (lowest since Apr 28th) and off 35bp highs last week.

  • 10Y BTP/Bund coming down from the recent peak above 200bp as well, last 184bp.
  • The accompanying chart confirms that correlation is alive and well - with BTP risk spreads defying the broader risk-off that has gripped markets in the past week.

Source: BBG, MNI

Keep reading...Show less