A big selloff in Spanish government bonds is underway this morning at 3:15AM central. Conditions can change by the US equity market open, but the results are currently very ugly.
At the time of this writing, the yield on 2-Year Spanish Bonds is 5.12% (up 20 basis points) having soared as high as 5.19% (at that time up a whopping 27 basis points).
The yield on 10-Year Spanish Bonds is 6.96% (up 20 basis points), having hit a euro-era high of 6.90%.
The European bond market is coming unglued fast. It will be interesting to see if ECB president Mario Draghi steps in, and with how much “firepower”.
Mike “Mish” Shedlock
Click Here To Scroll Thru My Recent Post List