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S&P/ASX 200 +1.5%, Rally On EU Comments

MARKET TALK: World indices Rally following positive comments from EU Commissioner Herman Van Rompuy; the index is currently up 1.5% at 4105. Van Rompuy says the ESM and EFSF funds will be used flexibly and an ESM-funded loan to Spanish banks won't have senior creditor status--that will boost confidence in peripheral European bond markets. Additionally, the EU's Barroso says direct bank recapitialization will be possible under very strict conditions--this could lead to a more streamlined and faster way of dealing with bank recapitalization.

Question is, how long do you think the rally will continue for?



This post first appeared on Your Trading Diary, please read the originial post: here

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S&P/ASX 200 +1.5%, Rally On EU Comments

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