Closing changes for the main European bourses:
- UK FTSE -0.9%
- French CAC -0.9%
- German DAX -0.6%
- Spain IBEX -0.9%
- Italy MIB -0.7%
The bond market continues to rally on hopes for QE.
- German 10-yer yields down 6 bps to 0.72%
- French 10s down 6 bps to 0.97%
- Italy 10s down 3 bps to record 1.94%
- Spain 10s down 5 bps to 1.78%
I can’t fathom a reason to buy bonds this cheap unless you think you can sell them to the ECB later.