Spreadex Market Update

Markets remain lost 



Markets remain lost for reasons to sell with conviction again today, as risk assets looked set to extend losses until the sellers became outpaced by managers looking to increase exposure to equities. The FTSE 100 trades down 5 at 6,111, 35 or so higher than the lows.

One point that’s helped instil a floor under the market today has been U.S. banks’ earnings beating forecasts, alluding to financials’ recent outperformance as being justified. Financials in aggregate are more expensive.

Fixed income and other safe havens are trading roughly in line with historical correlations, being in demand against earlier falling equity markets. Bunds outperform.

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