Rates Spark: Inflation Data Next Test For Bullish Euro Rates
2026-02-27 03:55:00 ET
By Michiel Tukker , Senior European Rates Strategist
Eurozone inflation stable, but also source of risk
Inflation surprises remain a risk to our rates view, both in terms of upside and downside risks. Markets are positioned for lower inflation, with the 2Y inflation swap marking 1.75% now, which is well below the European Central Bank’s target. Nevertheless, only 7bp of ECB easing is priced in for 2026, suggesting the probability of another rate cut is just 30%. This means that markets are content with an undershoot and don’t see the need for the ECB to respond....
Read the full article on Seeking Alpha
For further details see:
Rates Spark: Inflation Data Next Test For Bullish Euro RatesNASDAQ: EUO
EUO Trading
-0.65% G/L:
$28.24 Last:
3,305 Volume:
$28.326 Open:


