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Strong start to Q2, 50bp May hike still on the cards

The latest surveys suggest that the euro-zone economy started Q2 on a strong footing. With underlying price pressures also still strong, we think a 50bp hike at the ECB meeting in May remains the most likely outcome. Next week, GDP data are likely to show that the euro-zone economy expanded in Q1, while national figures will give a strong steer of what happened to euro-zone inflation in April.  

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