ECB: De Guindos Says ECB Better Understands Balance Sheet Policy Side Effects
Sep-18 09:28
There were two main messages to our strategy review. We didn’t modify our definition of price stability at all, we’re not moving to a range, and we have much more information about the side effects of our policies that were implemented in the past such as QE. For the future, we should take into account these side effects and medium term effects these policies might have. For instance on financial stability.
Want to read more?
Find more articles and bullets on these widgets:
Historical bullets
EQUITY OPTIONS: Large Deutsche Call Spread
Aug-19 09:26
DBK (19th Sep) 34.5/35.5, bought for 0.14 in 10.5k.
EGBS: Underperform Bunds and EGB Peers On BBG ICE Report
Aug-19 09:16
- EU-bonds underperform Bunds this morning, after Bloomberg reported overnight that ICE will not include EU-wide joint debt in its sovereign bond indices.
- Difficulty in securing index inclusion is not a new challenge for EU-bonds, with ICE rejecting a similar proposal last year.
- The Bloomberg report noted that “Even supporters of the change [i.e. to include in indices] commented that the EU is something neither/nor, something of a sub-sovereign or supra-sovereign agency rather than a typical sovereign entity”
- 10-year spreads are 2.5bps wider today at ~31.5bps, with other EGB spreads to Bunds up to 1bp tighter on the session.
- The combination of increased German issuance expectations and a pullback in EUR rates vol have contributed to broad-based EGB spread tightening to Bunds since the start of May. EU-bonds have participated in this dynamic, closely tracking similarly priced peers like RAGBs during the period.
SOFR OPTIONS: Notable Call Fly buyer
Aug-19 09:07
SFRU5 96.00/96.125/96.25c fly, bought for 0.75 in 18k total.
Related bullets
Related by topic
EUR/USD
Bunds
Germany
Euribor
European Central Bank
Schatz
Bobl
