May 18, 2022 14:47 GMT
ECB rate hike pricing has pulled back sharply in the last 30 minutes, with the Dec 2022 meeting rate now seen as low as 0.436% vs just above 0.50% at around 1520BST (and vs session high of 0.552%).
- Comparatively, US implied rates fell only about 2bp, while UK rates remained stable.
- Comes on the back of MNI's Policy piece which in part cites ECB sources downplaying Dutch central bank chief Knot's call for a possible 50bp hike.
Dec 2022 ECB Meeting Implied Rate %Source: BBG