Good morning. Donald Trump missed his son’s wedding on Saturday because he was busy ironing out the last details of a peace deal with Iran, which he said was “largely negotiated”. Three days later, the US has resumed attacks, Tehran is again threatening retaliation and oil prices are edging back up. European rate setters do not appear confident in a swift resolution, with two top European Central Bank policymakers — Isabel Schnabel and Philip Lane — heavily hinting they’ll be calling to raise rates in June. The die is cast — let us know how dark you think it will be: unhedged@ft.com.
Today, I write about AI’s impact on monetary policy, and Daire takes on the euro convergence trade.