Breakevens

Below find the 2 ,1 and 10 year inflation breakevens, approaching the levels in late February , Inflation expectations not accelerating just getting back to trend

On the other hand the US 5y5y inflation swaps at new YTD highs and then some..

Europe’s 5y5y inflation swap below has yet to break out to new YTD highs ,today’s miss in Germany’s CPI data,headline the lowest in 10 years (BBG) is more evidence that ECB will likely need to do more to Goose Inflation higher. Well what they have been doing in the past really isn’t working now is it? so something has to change I believe. next ECB meeting Dec 10th some type of new stimulus is expected and if Euro stays>1.20 some verbal intervention likely as well

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