I agree in principle but wouldn't short ERZ5 outright.. the risks of China imported lowflation are still high and a persistent deflation in China will lead to massive export of cheap goods to EU… So GDP growth hit by Chinese supply > inflation that keeps moving down > ECB will be forced to cut one more time (think it’s fairly priced)
I agree in principle but wouldn't short ERZ5 outright.. the risks of China imported lowflation are still high and a persistent deflation in China will lead to massive export of cheap goods to EU… So GDP growth hit by Chinese supply > inflation that keeps moving down > ECB will be forced to cut one more time (think it’s fairly priced)