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The front end of the Eonia curve is...........>

EONIA
EONIA: The front end of the Eonia curve is modestly flatter in early Wednesday
morning trading compared to Tuesday's close as German state of Saxony flash CPI
comes in higher than expected at 1.9% y/y and Spain flash HICP comes in at 2.0%
y/y. While markets also pare Tuesday's risk-on flattening move with stocks
ticking higher. Pan-German CPI is released at 1300BST with MNI median
forecasting 1.7% y/y. Market calculates around a 6% chance of a 10bp rate hike
in Mar 2018, and only rising to 16% in June 2018. MNI see 1y/1y Eonia 0.8bp
higher at -26.8bp & following levels in ECB forward dated Eonia.
- Sep-17 0.1bp higher at -0.353%
- Oct-17 0.1bp higher at -0.353%
- Dec-17 0.3bp higher at -0.352%
- Jan-18 0.2bp higher at -0.356%
- Mar-18 0.2bp higher at -0.352%
- Apr-18 0.2bp higher at -0.351%
- Jun-18 0.2bp higher at -0.342%
- Jul-18 0.2bp higher at -0.340%

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