The m Germanyajor European indices are all closing lower on the day. The declines are led by the German DAX which is down -1.7% and Italy’s FTSE MIB which is down by a similar amount. A look at the closing levels shows:

• German DAX, -247.19 points or -1.71% at 14198.81
• France’s CAC -90.17 points or -1.4% at 6358.47
• UK’s FTSE 100 -116.81 points or -1.54% at 7476.20
• Spain’s Ibex, -131.5 points or -1.49% at 8711.21
• Italy’s FTSE MIB -122 points or -1.75% at 23813

In the European debt market, benchmark 10 year yields moved sharply higher with the Italian 10 year rising by 22 basis

points to 3.696%.

Looking at the Italian 10 year yield, it traded to the highest level since November 2018, and is entering a swing area between 3.679% and 3.850%. The 50% midpoint of the move down from the 2012 high yield comes in at 3.891%. Since the low yield in January 2021 near 0.472%, the yield has moved up 324 basis points.