Traders Lift ECB Rate Hike Bets, See 75% Chance of 2026 Increase

Bloomberg) -- Money markets boost wagers on ECB rate hikes, while euro-area bonds slide further as an escalation of the war in the Middle East raises inflation fears.

Swaps imply a 75% chance of a 25bps ECB rate hike this year compared to 20% on Wednesday

German 10-year yield rises 10bps to 2.85%; Italian and French peers lag as demand for risk assets slides