STIR: Flurry Of ECB-Speak Does Little To Change Implied Cut Pricing

ECB-dated OIS price 61bps of easing through the remainder of this year, little moved by ECB-speak from Nagel, Kazaks and Cipollone yesterday evening/this morning.

• Executive Board Cipollone stuck to his dovish tendencies in an interview with Le Monde, expressing concerns about the Eurozone growth outlook and the need for less restrictive policy as a result.
• Meanwhile, the hawkish-leaning Kazaks supported cutting policy rates in September, after previously being “open” to the idea.
• Finally. Bundesbank’s Nagel continued to strike a cautious tone in an interview with FAZ (though conceded that inflation is “on the right track”).
• Today’s regional calendar is headlined by the August services PMIs (final reads for France, Germany and the EZ), though this afternoon’s Bank of Canada decision and US job openings data may have more market-moving potential for EUR STIRs.
• ECB centrist Villeroy also appears on a panel at 1200BST/1300CET.