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๐Ÿฆ๐Ÿ“Š Interest Rate Probabilities

**As seen in Macro Walk report 02/04/2022, subscribe at cablefxm.co.uk/reports


  • Last week, we heard from the RBA, ECB, and BoE. Overnight index swaps increased rate hike bets, however, these were more evident in the GBP tenors where the BoE is now seen delivering a 50bps hike in March with a chance of 145% of a hike/cut. The OIS market now prices 5 rate hikes from the BoE by end of year. In the EUR front, the ECB is now priced in to deliver its first-rate hike since 2011 by June this year, the chance of a rate hike/cut stands at 58%. Markets expect further tightening after June from the ECB. Broadly speaking, the G10 is priced in to deliver, we will still have some inflation prints to digest before any move.




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