May 20, 2024 06:40 GMT
STIR: Euribor Futures Weaker; Public Holidays May Thin Liquidity
STIR
Euribor futures are -0.5 to -4.0 through the blues, trading weaker alongside core global bonds.
- Weekend news that Iran’s President had died in a helicopter crash has not generated any meaningful geopolitical risk premium, with no evidence of external involvement at this stage.
- While most European markets are open today, liquidity may be hampered by the observance of the Whit Monday holiday.
- As such, the regional data/speaker calendar is very light today.
- Primary focus this week will be the ECB’s Q1 indicator of negotiated pay growth and the May flash PMIs, both due on Thursday.
- Sell-side estimates we have seen suggest that Eurozone Q1 negotiated pay growth is set to remain above 4.0% Y/Y, although a deceleration from the 4.5% seen in Q423 is still likely.
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