European Bond Yields 12-5-11

The yields for Italy and Spain are lower due to the global liquidity intervention last Wednesday.

10-Year Yields:
Italy 6.35%
Spain 5.40%
France 3.20%
U.K. 2.27%
Germany 2.16%
U.S. 2.06%.

Mario Monti announced Italy's debt plan one day early. Merkel and Sarkozy meet today. The Greek Parliament vote is Wednesday. The global intervention last week allows some breathing room as the tension and expectations build for the E.U. Summit on Friday. Treasury Secretary Geithner begins his meetings tomorrow. The scale of the European debt crisis is finally receiving the attention it needs.

Note Added 12/5/11 at 5:20 AM EST:  10-Year Yields; Italy 6.24%, Spain 5.36%, Germany 2.20%, U.S. 2.09%.  Of interest is the Italy yield curve which was inverted last week but now shows a marked improvement, uninverting; Italy 10-year is 6.24%, 5-year is 6.24%, 2-year is 5.76%.

Note Added 12/5/11 at 9:05 AM EST: 10-year yields continue lower with Italy now 6.12% and Spain 5.17%.