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STIR: Euribor Futures Off Highs As Markets Digest PMIs

STIR

Euribor futures have moved away from intraday highs as markets digest the July flash PMI round in the Eurozone/UK. ERZ5 briefly marked above the July 18 high (reaching 97.55, the highest since April), but have since faded to 97.53 (still +4.0 ticks today).

  • ECB implied rates have fallen a little alongside Bund yields, with OIS now showing 48bps of easing through the remainder of this year (vs a post-EZ data dovish extreme of 49bps and 47bps pre-data).
  • The BoC decision provides some spillover potential this afternoon.

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