Here is one of the indicators I spoke of this morning – it was 85 coming into the day (the chart does not update intraday) which is a very rare level over the past 3 years. If today's ramp holds into the close it would not be surprising to see a reading near 100. That has only happened once in 3 years, late July 2010. It happened a few times in late 08, early 09 as well – once even well over 100. But it's rare.
Looks like everyone is anticipating not only a 25 basis point ECB cut but some goodies now that they have said they wanted the fiscal authorities to act first. Again we need not see a big selloff, but usually when you reach these sort of levels you digest for a few sessions.
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