The European Central Bank (ECB) has called an emergency meeting to address the current bond market turmoil.
Given the recent increase in global bond yields and the much wider core/peripheral gaps, the European Central Bank has announced that an ad-hoc Governing Council meeting would be held to evaluate current market developments.
This will feature the global bond market’s somewhat erratic price movements.
The meeting will begin at 10:00 a.m. BST, however it is unclear whether a statement will be issued.
The Euro rose to slightly under 1.05 in response to the original announcement, as Bund-BTP spreads quickly tightened.

To Stabilize The Euro, Little Talk And Much More Action Are Required
However, sources imply that the ECB will examine PEPP bond reinvestment and maybe tilt it to help weaker countries at the time of writing.
As the announcement is a reassertion of current forward guidance, it appears to be some sort of disappointment, with the Euro retreating from daily highs.
As a result, if the ECB simply states that it is closely monitoring markets rather than announcing any new instruments, the EUR/USD could retrace its initial gains, returning to the 1.04 handle.
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