Back on the 24th Jan I asked the question whether the falls in stocks and currencies were the start of a trend or just a natural retracement. Given that stocks are once again challenging this and last years highs I think we have the answer. Sentiment has swung around once again as emerging market worries fade and soft data is written off to the weather.
I’m still cautious of the gains as I was on the falls originally but the prices tell us the story. I’m only gutted we didn’t get a bit more to the falls in stocks and currencies that would have had me loading up, but they’ll be plenty more opportunities down the road no doubt.
In the meantime European stocks are finishing the week on a good note with modest gains across the board.
- FTSE +4.2 points
- Cac +0.5%
- Dax +0.7%
- Ibex +0.2%
- FTSE Mib +1.6%
European bonds are having a fair day also with Spanish bonds once again hitting new multi year lows at 3.59% – 3 bp on the day.
Spanish 10 year yields
Just a reminder also to those clocking off in Europe that it’s a bank holiday in the states on Monday (yes, yet another one
) Stock markets are closed but fx will be open.