A pause is now the clear base case. The regional banking stress is now more equity/credit driven than deposit driven, which will be harder to backstop for the FDIC and the authorities. Will the ECB sound dovish?

A pause is now the clear base case. The regional banking stress is now more equity/credit driven than deposit driven, which will be harder to backstop for the FDIC and the authorities. Will the ECB sound dovish?
Everything released from the US economy this week speaks in favour of a pause. The NFP and CPI reports hold the potential to alter that view but the bar is high. We think the hiking cycle is over.
The RBA paused with a hiking bias intact. Is this the short-term playbook for other Western central banks? RBNZ comes up later, while the ECB members have started to sound the alarm.