Money markets scale back ECB rate hike bets on coronavirus variant worries

LONDON (Reuters) - Euro zone money markets on Friday scaled back bets on a rate hike from the European Central Bank next year as news of a new coronavirus variant spreading across South Africa cast a shadow over the short-term economic outlook. Money market futures were pricing in roughly a 50% chance of 10 basis point rate hike from the ECB in December 2022, having fully priced in such a move earlier this week. That move was reflected by a smiliar pull back in rate hike bets in the United States and Britain. The latest COVID headlines news comes as Europe already battles a resurgent outbreak of the virus, triggering fresh restrictions in a numebr of countries. Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

Money markets scale back ECB rate hike bets on coronavirus variant worries
Money markets scale back ECB rate hike bets on coronavirus variant worries

LONDON (Reuters) - Euro zone money markets on Friday scaled back bets on a rate hike from the European Central Bank next year as news of a new coronavirus variant spreading across South Africa cast a shadow over the short-term economic outlook.

Money market futures were pricing in roughly a 50% chance of 10 basis point rate hike from the ECB in December 2022, having fully priced in such a move earlier this week.

That move was reflected by a smiliar pull back in rate hike bets in the United States and Britain.

The latest COVID headlines news comes as Europe already battles a resurgent outbreak of the virus, triggering fresh restrictions in a numebr of countries.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.