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ECB: Officials Increasingly See Rate Rising Above Zero This Year

ECB
  • Bloomberg reports that ECB officials are increasingly seeing rates above zero before the end of the year, according to officials familiar with the matter.
  • That moves closer to what’s priced in ECB-dated OIS, which first consistently saw an implied rate above 0.25% at the Dec meeting (a third 25bp hike for the year) at the beginning of this month.
  • As such there appears relatively little impact at this stage, following Lagarde this morning keeping open July hike prospects by being able to hike “only a few weeks” after ending asset purchases.

Implied rate from ECB-dated OISSource: Bloomberg

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