Major European indices depend on better-than-expected US CPI data and the subsequent risk to inflows. Gains of more than 1% are seen across the major indices.
Looking at the closing levels:
- German DAX +1.5%
- Francis Kak + 1.64%
- UK FTSE 100 +1.91%
- Spanish Ibex +1.37%
- Italy’s FTSE MIB Index (10 minutes behind), up 1.9%.
10-year benchmark yields are also lower in Europe:
- Germany -9.7 basis points
- France -9.7 basis points
- United Kingdom -14.0 basis points
- Italy -13.3 basis points
- Spain -10.5 basis points.
As European traders look to get out, US stock indices are also higher but lower than European indices:
- The Dow Jones Industrial Average rose 230.11 points, or 0.67%, at 34,492.46.
- The Standard & Poor’s Index rose 39.31 points, or 0.88%, to 4,478.21.
- The Nasdaq was up 152.60 points, or 1.10%, at 13,912
In the US bond market, yields are lower and the shorter side leads the way:
- 2 years yield 4.733% -16.2 basis points
- 5-year yield 4.076% -16.2 basis points
- 10 years 3.865% -11.7 basis points
- 30 years 3.965% -5.6 basis points
The US Treasury will auction the 10-year note at 1pm ET.
