European Stocks Close Green With Credit 'Reality-Check' On Vacation
With London closed, the market's 'police' were away and so the mice played. Credit markets (sovereign and corporate) went absolutely nowhere as trading was minimal to negligible but equities just could not help themselves as the path of least resistance was to retraced back up from Friday's loss. The move in European equities is simply catch up to Friday's post-European-close levitation in the US (admittedly with a little higher beta) and volume was as dismal as one would expect. FX markets are also dead with EURUSD up only 5 pips at the EU close - having traded in a 40 pip range since it opened on Sunday night (most of which was around the Asian and European data releases). Quiet - in a word - with reality returning tomorrow as London's credit traders come back.
European stocks catch-up to US performance but massively outperform FX and credit markets (which were dead)...