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BTPs Unphased by ECB Sources

ITALY
  • Reuters cites ECB sources in reporting that ECB policymakers consider the rise in Italian yields as being justified by deteriorating budget fundamentals, adding that the sources see no urgent case for the ending of PEPP reinvestments, with the discussion needing to be "put on ice". The sources add that there is no current discussion about activating the TPI (Transmission Protection Instrument).
  • BTPs and the EUR currency relatively unmoved on the report, with EUR/USD holding close to the earlier lows at 1.0520. A break below here would open the post-NFP lows at 1.0483 for direction.
MNI London Bureau | +44 203-865-3809 | edward.hardy@marketnews.com

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