It’s nothing too dramatic, but markets are generally lower in Europe following Friday’s mass downgrade by S&P.France’s CAC-40, for example, is off by 0.66%. Italy’s FTSE MIB is off by about the same amount.
On the sovereign bond side of things — where you’d expect to see more action — things are actually quiet too. Italian bonds are only a touch wider across the curve.
French short term yields — despite France losing its AAA-rating — are actually falling.
All in all, with the day off in the US, it’s looking like a quiet Monday.