The big loser in Europe today is Unicredit, down 14%. Financials are getting hit hard, although it is mostly showing up in credit or at least it is more acute there.
As I reminded you, France has a big auction of debt tomorrow and French Yields are rising pretty dramatically today ahead of the issuance. As mentioned last week, Thursday will be important for Europe and France in particular. The ECB's inability to support OATS in the secondary market makes French debt the real barometer of what s truly going on with regard to contagion.
The Euro is on a little counter trend bounce right now and that is likely the support the US markets have seen thus far today.
It will be interesting to see how the Euro reacts after the EU close through the New York close with the French auction tomorrow.
5 years ago
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