- Rate cuts by 25 bps amount is preferable
- But it is not a given that rate cuts would happen at every meeting, pauses are possible
- GDP data supports view that Eurozone economy is facing soft landing scenario
In the big picture, one can agree to his remarks above. However, considering what markets have priced in now, there is a decent correction to be had if the first move actually does come in June. The odds of a April rate cut are now at ~92%, down slightly after having been fully priced in yesterday.
This article was written by Justin Low at www.forexlive.com. Source