Market Update as Europe Falls in early trading. Italy in tic tac mood as rates soar
Equity markets are facing reality in this morning session. With the Italian 10 year rate at 6.66%, the clock is ticking. As we have pointed out over the weeks, Ireland got bailed out at 7%. Italian rates should be reaching that level very shortly. The only factor keeping the rates at sub 7% is the notorious buying by the ECB. With the Greek mess “out of fashion”, Italy and (don’t forget) Spain should be the countries to focus on. Below some quick chart updates.
Further charts below.
SPX short term
DAX short term
and the new Fashionistas, MIB