It took a while but the market finally got through the stops below 1.2240 support. Weaker commodities and stocks are a factor while sovereign debt concerns continue to nag at confidence in Europe. France is now in the spotlight amid recent banking losses and downgrades and rumors of a sovereign downgrade making the rounds.
Spreads are widening again between French and German debt, as one would expect, given the whispers. French debt yields nearly 43 bp more than German debt from below 37 bp earlier in the week.
