Italy budget news helps...Why not give them some credit
Economy minister Tria said that Italy planned to cut budget deficit starting in 2020, earlier than previously said. That might appease the EU and as a result, the Italian market rose and their yields fell. With Germany off, the news may have helped lift all the boats in Europe as well as the major indices are ending the session higher.
Here is the breakdown:
- France's Cac rose 0.5%
- UK's FTSE rose 0.7%
- Spain's Ibex rose 0.8%
- Italy's FTSE MIB rose 0.84%
- Portugal's PSI20 rose 0.04% (call it unchanged).
In the 10 year note market:
- France 0.822, up 3.6 bps
- UK 1.579%, up 5.1 bps
- Spain 1.537%, unchanged
- Italy 3.311%, down -14.1 bps
- Portugal 1.895%, unchanged
In other markets as London/Europe looks to exit:
- Spot gold is down -$4.00 at $1199.30
- WTI crude oil survived a huge build and is up $0.23 at $75.45 (go figure)
A snapshot of the US stock market shows:
- Dow is up 129 points and would be another record close.
- S&P is up 11.14 points or 0.39% at 2935.25. The high reached 2939.86. The low 2931.69
- Nasdaq is up 32.6 points or 0.41% at 8032.24. The high reached 8045. The low 8012
US yields are higher. The 5 year made it above the 3% level
- 2 year 2.843%, up 3.2 bps
- 5 year 2.997%, up 4.6 bps
- 10 year 3.121%, up 5.8 bps
- 30 year 3.281%, up 6.2 bps
Finally in the forex market as London head home, the GBP is the strongest. The NZD is the weakest.
For the USD, the greenback is near or at the highs vs the EUR, JPY, CHF, AUD and NZD. IN fact the USDJPY just moved above a key resistance level at 114.129.
