European stocks post big bounce

Dead cat or sustainable?

I think there is far too much turmoil and uncertainty in the UK to sustain the bounce in European stock but it was party time today.

• UK FTSE +2.5%
• French CAC +2.5%
• German DAX +1.9%
• Spain IBEX +2.5%
• Italy MIB +3.3%

Periphery spreads tightened substantially with Italian 10s down 10bps and German bunds flat at -0.11%.