• Participants expect eurozone inflation to be dampened over coming half year
  • Inflation expectations are very very low
  • Expectations regarding future depreciation of euro also play a role in higher expectations
  • Low oil price is a main driver driver behind expectations
  • Most participants seek a Fed hike in the next half year

Inflation, inflation, inflation is what everyone is worried about. The euro isn’t though as it powers into 1.25 to a 1.2528 high before falling back to 1.2512