02 February 2015 by lberuti
The daily variations of indices did not really reflect the sentiment today. They are closing tighter across the board, but only on the back of 45 minutes of agressive protection selling into the close. Single name CDS gave a mixed picture though, and they are closing wider on average. Basic Material suffered from the reported slowdown in China (first sub 50 PMI print in January since September 2012). The sentiment on financials is still dampened by the uncompromising stance adopted by the new Greek government regarding their debt negotiations. Consumer Non-Cyclicals were weighted down by the UK retailers. Their 5 year risk premia were marked up as people fear profit warnings maybe on their way in the sector, starting with MRWLN (Wm. Morrisson Supermarkets Plc). At the other end, the energy sector had some respite, on the back of the rebound of oil above $50 per barrel.