Traders on Wednesday (Aug 23) firmed up bets that the European Central Bank would pause hiking interest rates in September, as sharp contractions in business activity pointed to deepening economic pain in Europe. Traders now price in a roughly 40% chance of a 25 basis point move in September compared with a more than 50% chance they saw only on Tuesday (Aug 22). That suggests they are leaning towards a pause in the ECB's record-paced tightening cycle that has lifted rates from deep in negative territory to 3.

http://klse.i3investor.com/web/blog/detail/kianweiaritcles/2023-08-23-story-h-241898666-Investors_expect_ECB_rate_hike_pause_in_September_after_dismal_PMIs

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