- Euribor futures in particular have seen a volatile morning. After moving sharply lower around 16:00BST / 11:00ET yesterday following the release of CPI for the German state of Rhineland, Euribor futures were dragged a bit higher by the Fed (but still not to the days highs) and then fell further this morning on further high German state inflation prints.
- The low of the day was achieved around the time of the European open.
- Since then we have drifted higher through the session before hitting a high of the day around 9:20BST / 4:20ET, a few minutes after some state CPI prints that were closer to where the national print had been expected. Note that our data team expects the national CPI print to come in at 7.5-7.6%Y/Y - which implied 1-2 tenth upside surprise to the initial Bloomberg consensus.
- At the time of writing Euribor Whites / Reds were 1.5 ticks higher than yesterday's close (but generally 3 ticks lower than Tuesday's close).
