Citibank: Next Week's "Super Central Bank Week" May Escalate Bond Market Volatility

BlockBeats News, March 13th, Citigroup rate strategist Jamie Searle said in a report that the short-term government bond yield may remain fragile until the reopening of the Suez Canal becomes clear. Searle pointed out that major central banks will hold policy meetings next week, which may exacerbate market volatility. Searle said the European Central Bank may leave the door open for a preemptive rate hike, while the Bank of England may adopt a cautious tone and retain the option to resume rate cuts later. "The bottom line is that the uncertainty provides a reason for the ECB to stand still, but the possibility of several preemptive rate hikes cannot be ruled out," Searle said. (FXStreet)