The major European indices are piggybacking on the better-than-expected US CPI data and subsequent risk-on a flows. Gains of well over 1% are seen across the major indices.

Looking at the closing levels:

  • German DAX, +1.5%
  • Frances CAC, +1.64%
  • UK's FTSE 100 +1.91%
  • Spain's Ibex +1.37%
  • Italy's FTSE MIB (delayed 10 minutes), up 1.9%

Benchmark 10 year yields are lower in Europe as well:

  • Germany -9.7 basis points
  • France -9.7 basis points
  • UK -14.0 basis points
  • Italy -13.3 basis points
  • Spain -10.5 basis points.

As European traders look to exit, US stock indices are also higher but less so than European indices:

  • Dow industrial average is up 230.11 points or 0.67% at 34492.46
  • S&P index is up 39.31 points or 0.88% at 4478.21
  • NASDAQ index is up 152.60 points or 1.10% at 13912

In the US debt market, yields are lower with the shorter end leading the way:

  • 2-year yield 4.733% -16.2 basis points
  • 5-year yield 4.076% -16.2 basis points
  • 10-year 3.865% -11.7 basis points
  • 30-yeah year 3.965% -5.6 basis points

The U.S. Treasury will auction off 10-year notes at 1 PM ET.