The Israeli gov't is reported to be reviewing the prospective ceasefire deal put forward by Qatar and Egypt and agreed to by Hamas on 18 August. Initially, PM Benjamin Netanyahu was reported to have been 'dismissive' towards the prospect of a truce being reached. The Times of Israel, though, claims that "Two Israeli officials said Tuesday that Jerusalem is studying the hostage-ceasefire proposal accepted by Hamas, and that Netanyahu is expected to convene discussions about it soon. A response is expected in the coming two days, said a Palestinian source close to the talks."
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J.P.Morgan recommend longs in 10-Year OLOs on an evenly weighted France/Belgium/Germany 10-Year butterfly.
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The volume of ECB speak has reduced notably since our last update two weeks ago. The main development since then has been US President Trump’s threat of 30% tariffs on EU exports from August 1. However, Reuters sources suggested that while this threat has “complicated” decision making for the ECB, it is not likely to “derail plans for a pause in rate cuts” at this Thursday’s decision.