London Session: BOE’s Tucker gets it right: anything could happen

After yesterday's major moves in stocks and FX markets, today it is the bond market's turn. Italian 10-year yields have fallen below 7% for the first time in 2 weeks. This has been mirrored across European bond markets and even German yields have started to retreat, possibly as a reaction to the prospect of greater IMF involvement as Europe tries to find a solution to the debt crisis.