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Fed Hike Pricing Reverses Earlier Dip After ECB Hikes 50bps

STIR FUTURES
  • The ECB 50bp hike and statement sees near-term FOMC hike expectations back to where they were before the De Guindos headline that some EU banks could be vulnerable.
  • Pre-ECB press conference, Fed Funds showing 17bp for next week and a peak after a cumulative 28bp of hikes for May but building to 108bps of cuts to year-end, the latter close to where they were yesterday close and reversing an overnight trimming of cut expectations.

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