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ECB / BoE Rate Expectations Pre-US CPI

STIR

Quick check on Europe rate hike pricing ahead of US CPI:

  • ECB: 48bp hike priced for Feb, 91bp cumulative through Mar meeting; terminal in Jul after 142bp of hikes, implying depo rate of 3.42%
  • BoE: 44bp hike priced for Feb, 73bp cumulative through Mar meeting; terminal in Aug after 96bp of hikes, implying Bank Rate of 4.46%

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