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Nordea Recommend Paying Near-Dated ECB OIS

STIR

Nordea write “most risky assets have recovered the lost ground from the U.S. recession scare. Central bank pricing has not. It will take quite a shock to realise current ECB pricing through year end.”

  • As a result, they recommend the following trades:
  • Pay Dec ‘24 ECB-dated OIS 3.00%. Target: 3.15%. Stop: 2.90%.
  • Pay Feb ‘25 ECB-dated OIS 2.825%. Target: 3.10%. Stop: 2.70%.
  • We (MNI) have previously noted that the market-implied ECB rate path is notably more dovish than the once per quarter preference that several GC members have outlined.
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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