Free Trial

Holzmann: Markets Have Good Sense Of Oct 27 Meeting

ECB
  • Holzmann, at the hawkish end of the ECB spectrum, tells CNBC that the market has a good sense of the ECB’s next meeting, with a 100bp hike beyond what is needed.
  • He sees a 75bp hike in Oct and 50bp in Dec to get us to neutral, with the ECB then assessing QT once at neutral.
  • On growth, all indicators show stagnation or shallow recession, but a shallow recession won’t stop the ECB from hiking.
  • ECB-dated OIS currently shows 70.5bps priced for Oct 27 with a cumulative 133bps to 1.99% at year-end, with increases continuing to a cumulative 230bps of hikes to 2.95% in Sep’23.

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.