Spreadex Market Update

Global markets cautious



Global markets rode cautiously today as investors rejected the proposal by the EU to create a single Eurozone banking supervisor to aid struggling banks and provide them with access to the European bailout fund, if need be.

It seems investors are becoming frustrated with the continuous proposals outlined by EU policy makers to resolve the debt crisis but failing to provide investors with specific information regarding how the fund will operate, the time scale involved and perhaps more crucially, how much funds will be needed.

However, on the flipside, Spanish 10-year yields continued to fall and even hit as low as 5.26 per cent, which is the lowest level since April. Thus, it seems investors have not given up buying debt from struggling Eurozone nations, and in fact are now seeing bargains in assets they may have previously deemed to be too risky.

DISCLAIMER


Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 64% of retail investors lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work and whether you can afford to take the high risk of losing your money. For professional clients, spread betting and CFD trading can also result in losses larger than your initial stake or deposit.

Spreadex Ltd is authorised and regulated by the Financial Conduct Authority, provides an execution only service and does not provide advice in any way. Nothing within this update should be deemed to constitute the provision of investment advice, recommendations, any other professional advice in any way, or a record of our trading prices. This update does not constitute or form part of an offer of, or solicitation for a transaction in any financial instrument, nor shall it or the fact of its distribution form the basis of, or be relied on in connection with, any contract therefore. Any persons placing trades based on their interpretation of the comments or information within this update does so entirely at their own risk.

No representation, warranty, or undertaking, express or limited, is given as to the accuracy or completeness of the information or opinions contained within this update by Spreadex Ltd or any of its employees and no liability is accepted by such persons for the accuracy or completeness of any such information or opinions. As such, no reliance may be placed for any purpose on the information and opinions contained within this update.

The information contained within this update is the intellectual property of Spreadex Ltd and is protected by UK and International copyright laws. All rights reserved. Users may however freely download, distribute and reproduce extracts of the contents, subject always to accrediting Spreadex Ltd as the source and providing a hyperlink to www.spreadex.com.