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Light Dovish Initial Market Reaction to ECB's Core Inflation Forecasts

CROSS ASSET

EUR softens and core global FI markets rally as the ECB's '25 & '26 core inflation projections are lower than expected, while peripheral EGBs see very modest tightening to Bunds. ECB-dated OIS moves to price 23bp of cuts through June and '97bp through '24 on the whole, once again with a focus on the Bank's inflation projections.

MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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