Another HUGE Rally For The Most Important Chart In Europe

As we’ve argued a lot, lately, the Spanish 2-year bond yield is the most important chart in Europe, given that it shoulders so much of the burden of Spain’s government financing.

And after a monster day on Friday — gaining more than it had on any other day since 1993 — it’s at it again, with yields falling sharply, and dropping below 4 per cent.

Bear in mind that the yield here was 5.5 per cent last Thursday, so this is a massive two day run.

Everyone is of course convinced that this latest bailout will only work for so long, before it all fades. And that’s probably a correct assessment, but in the meantime, the rally is vicious.

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Photo: Bloomberg

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