Market news
28.01.2021, 07:39

ECB: Revival of rate cut speculation – Danske Bank

FXStreet reports that analysts at Danske Bank said that the ECB rate cut talks are back.

“ECB rate cut speculation got revived on Bloomberg's sources story on ECB examining the FX drivers, which got further ignited by Dutch Governor Knot's saying ECB could cut the deposit rate and sources stories saying that ECB officials believe that markets underestimate the probability of a rate cut. Front-end pricing point added almost 1.5bp for a rate cut by year-end (60% chance).”

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