Italian Budget vote passes - Nov. 8th

Hello All,

 

The Italian budget vote passes, but the main concern is as to whether Berlesconi will be subject to a vote of confidence or will be subject to resign.  This next step may take days or even weeks, and if he were voted out the significance of change in the right direction may provide enough steam for the markets to rally.  Although the chances of this happening are very slim as he has lost majority in the lower house, but maintains majority in the Senate.  We will keep our eye on Italian bond yields as they're teetering at 7%.

 

Best,

 

Arman Vahdatinia

President, Chief Market Strategist.