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Data Biases ECB Pricing A Touch Lower

STIR
As noted elsewhere, local data has been a more meaningful driver of the light downtick in ECB-dated OIS than already delivered ECB speak (Nagel remaining hawkish and Visco relatively dovish).
  • Softer than expected final services PMI & PPI data out of the Eurozone, alongside a mark lower in the short-term inflation expectations in the latest ECB consumer survey, leave terminal rate pricing just below 4.00% in deposit rate terms, while the majority of the liquid contracts are little changed to ~3bp softer.
  • Looking ahead, comments from ECB's Villeroy and de Cos fill out the ECB speaker slate on Wednesday.
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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