Euro Rally Puts $1.10 in Sight With ECB Now Last Hawk Standing
- At same time, Lagarde’s stance spurs appetite for Treasuries
- March inflation data seen quickening will support both trades
Christine Lagarde
Photographer: Alex Kraus/BloombergThis article is for subscribers only.
Christine Lagarde is cementing her credentials as the biggest hawk among major central bankers despite the mounting banking stress, handing financial markets a reason to buy the euro and sell German bonds.
The president of the European Central Bank last week declared getting euro-area inflation back on target is “non-negotiable” and won’t involve “trade-offs,” days after she boosted interest rates by 50 basis points.