In the News: ECB in the “patient camp” with the RBA

Patrick Idquival from Ebury joins ausbiz ahead of big meetings from the ECB and the Bank of England. To cap off a busy week of central bank meetings eyes will be on our European neighbors with meetings from the ECB and BOE. “I’m putting the ECB in the ‘patient camp’ with the RBA and pairing the BOE with the Fed as definite hikers” says Patrick. “From the ECB, we don’t expect any policy changes and the closest hike priced in is October 2022. What we are interested in hearing is confirmation that PEPP will end in March. And from the Bank of England we’re fully priced in (well 98%) for a 25bps hike, with some economists punting on a 50bps hike tonight. However, inflation over the next couple of months will tell the story on how many rate hikes we’ll see with some economists predicting as many as 5 hikes this year” he says. Find out what this all means for Patricks forecasts for the Australian Dollar by watching the full interview here.