Free Trial

Weaker Alongside Core FI; 159bps Of ECB Cuts Priced Through 2024

STIR

Core global FI markets and Euribor futures operate on the backfoot early today, with the latter trading 1-4.5 ticks lower through the blues.

  • ECB-dated OIS contracts price around 159bps of rate cuts through 2024. This compares to dovish extremes closer to 170bps seen before the turn of the year. There are currently 15bps of cuts priced through the March meeting.
  • Today's European docket is fairly light, with just German and Spanish labour market data to note. There are no ECB speakers currently scheduled.
    Meeting Date ESTR ECB-Dated OIS (%)Difference Vs. Current Effective ESTR Rate (bp)
    Jan-243.889-1.70
    Mar-243.760-14.6
    Apr-243.526-38.0
    Jun-243.222-68.4
    Jul-242.939-96.7
    Sep-242.695-121.1
    Oct-242.499-140.7
    Dec-242.312-159.4

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.