video Video

Market Pulse: Greek saga drags on but auctions cheer

Thursday, February 16, 2012 - 03:42

Feb. 16 - Well received bond auctions in France and Spain show government bonds are still supported by cheap ECB bank loans.

▲ Hide Transcript

▶ View Transcript

I'm not mistaken Marcus as the big saga drags on. Volatile trade and so -- shares and buying stocks in the red by France and Spain caddie I was successful bond auctions this is today's market pulse. But let's kick off with those bond -- Spain attracting very strong demand for its four billion annual sales. With but to come up as high as four point four on one issue fronts easily shifts eight point five billion euros of bonds. Although demand may not quite as strong. Well here with more detail and analysis as long to respond correspondent we'll James we'll get to see you again so on the face of it despite a sales of Betty -- strong. Is the case are other any chinks in the on the. Well I think anyone can deny that -- good results. They can against that backdrop of markets and and a response mode today. And Arnold says it was very mineral concession built into -- -- -- have very strong but if you look at the pricing there are signs. Perhaps. But among this is slowing if not -- thoughts heading off. That the original title on the ocean accepted a wide range of bids. I'm wished houses that people of different valuations of the Spanish bonds -- -- that the treasures of very keen to send as much account which it which is in keeping with the aggressive stance that the commission. I'm innocent and -- to be one domestic -- evidence that that's right yeah I -- did that demand is very very much focused on. From domestic banks a lot of receiving cash and that the talk is to this one buyout -- he's done he's gonna -- -- well it's not Spanish bonds and I don't know what funds vote below the sales and palace are strong -- BC. Looks like yeah I'd I'd say they would they were very good sales they got but I -- Bono -- could in good size. Must -- encouraging again mineral concessions. I'm and it shows it is still to run -- Paper that this that's hardly rice's. Not a political spectrum but I bet that still volley right. It's finally how has the -- the bond market -- -- -- -- it's held up pretty well spreads I'm ready made since the sale which is which is a good sign we've seen after previous ourselves that things have widened out on the market struggled taken down but that doesn't look like because today. We've got a -- futurist and and and risk officer since -- -- -- into guns that's that has brought to the top of the range from the trade as we talk to now. Once you -- -- perhaps a stop to fight back bring it back down to 1237 which is where we've been since January and the US one point eight suit. That 22% -- well thank you and what that was. Oh -- that's what's upon cost on them. Well these auctions helping to put a floor on the equity markets. But stocks are still in the -- more not less uncertainty over the second bailout package for Greece and acrimony between Athens and the rest of Europe steadily rising. By some on the what's performance done two and a half percent and moving further away from the 200 day moving average and on 119. That technical resistance stuffed into the stronger and stronger by the day. On the downside the next support may be it on 1 morning fifty. That's if that's eight point 2% fibonacci retracement of the month long rally stopped it on the ninth of January. -- shares -- France's biggest listed bank so -- how fallen as much as 5%. After the bank reported an 1890% fall in profits in the fourth quarter so. Deadly toxic assets after its investment bank. And right buttons on its holdings of Greek sovereign bonds debunked spot since -- last trading up and and three quarters of 1% on the day. What was today's market pulse join me at twelve GMT every weekday -- -- daily effects of market -- but we look at -- moving on why. I'm -- to give them this is what was.