You're now on the archive server. Commenting has been disabled.
European Equities Catch Down To Credit's Deterioration
We warned on Thursday and Friday of last week that the rally in European risk assets had begun to disperse (with stocks continuing to the final bell on Friday while credit markets were far less excited). Today saw stocks roll over modestly (less than 1% drops in general today) and credit markets continue to slide. Sovereigns leaked modestly wider once again (except for Portugal which weakened considerably - given a good chunk of last week's gains back in its illiquid way). EURUSD is practically unchanged from Friday with cable (GBPUSD) the most active as Carney is named the new BoE head. German 2Y remains at 0%, Swiss 2Y drifts lower (more negative), 3-month EUR-USD basis swaps dropped their most in 2 weeks, LTRO-encumbered bank spreads continue to underperform, and Europe's VIX jumped its most in 3 weeks.
European stocks (blue) playing some catch down to credit...
GBP dominated FX vol this morning so far with EURUSD practically unchanged...
Charts: Bloomberg
»
- 3981 reads
- Printer-friendly version
- Send to friend
Time to bye bye bye...........wait, I mean.............nevermind!
Yes, time to move into cash and bonds.
lol
Did CNBC "promise" not to invoke the word Facebook while the Winklevoss dudes were hocking their Hukkster investment? Really weird and pathetic.
Maybe retiail will dump some more stocks and continue moving into cash and bonds. I am sure that is the winning trade.
Yea, time to grind up the SPX and russell 2k now.
Oh looky, they are already on the mission.
Green by close.
Yep. Nasdaq already there. And bonds still healthily bid, while the lid remains tightly on commodities. All bankster systems go, in other words.