Charts I like and charts I hate
Great wrap up!! Two follow-up questions: (1) the market is pricing ECB cutting another 85bps in 2025, but you expect ECB cutting more or less than that? (2) why do you hate that inflation chart? because you expect inflation will be higher? Thanks!
The messaging is quite clear to get back to 2% rates at this point. But there are effects from the US that could slow that pace of rate cutting
(2) overlay charts are always bad...you can find many examples that would show the opposite outcome
Haha! Simple overlay is a classic chart crime. As of ECB, I find it hard to pencil out, but thanks for your thoughts!
Nice round-up, thanks!
Great wrap up!! Two follow-up questions: (1) the market is pricing ECB cutting another 85bps in 2025, but you expect ECB cutting more or less than that? (2) why do you hate that inflation chart? because you expect inflation will be higher? Thanks!
The messaging is quite clear to get back to 2% rates at this point. But there are effects from the US that could slow that pace of rate cutting
(2) overlay charts are always bad...you can find many examples that would show the opposite outcome
Haha! Simple overlay is a classic chart crime. As of ECB, I find it hard to pencil out, but thanks for your thoughts!
Nice round-up, thanks!