EUR SWAPS: Front-End Re-Pricing Drives Forward Curve to Parity
* The 1y1y/5y5y EUR OIS spread has flattened ~40bp since early this month and, fuelled by today's solid PMIs, is now flirting with parity. * While today's resilient data supports the view that the economy can withstand immediate pressures - with over 80bps of ECB hikes now priced in by mid-next year - there is little r