Higher cable hurts the UK FTSE
The major European stock indices are ending mostly higher with the exception of the UK FTSE. Higher inflation sent the GBP higher and that is a bad thing for stocks.
- German Dax is ending up 0.4%
- France's Cac is ending up 0.65%.
- UK FTSE is down -0.1%
- Spain's Ibex is ending up 0.05%
- Italy's FTSE Mib is ending up 0.45%
- Portugal's PSI20 is ending up 0.59%
In the 10 year debt market, yield rose sharply:
- Germany 0.405%, up 6.9 bp
- France 0.702%, up 6.9 bp
- UK 1.135%, up 9 bp
- Spain 1.607%, up 4.1 bp
- Italy 2.032%, up 6.4 bp
- Portugal 2.86%, up 4.2 bp
- Greece 5.453%, unchanged
The German 10 year yield moved above the 200 and 100 day MAs in trading today. Staying above would be more positive for yields.
The UK 10 year yield (up the most today), is back above it's 100 day MA at 1.11% and is also above the trend line currently at 1.129%. The 200 day MA is ahead at 1.194%. That would be the next target on a continued run to the upside in yields.
