You new that one or more central banks would come riding to the rescue sooner or later and this mornings strong comments by the ECB's Draghi fits the bill. "To the extent that the size of these sovereign premia hamper the functioning of the monetary policy transmission channel, they come within our mandate", Draghi said in a speech earlier this morning. That statement certainly looks like he is laying the groundwork for more intervention and more than likely that will take the form of the ECB restarting its bond buying programs.

I don't know about you, but betting against the central banks isn't usually a very good idea. They can overwhelm the markets for a while and for a while is today as the markets soared on the news. The Euro finally looks set to do the retest/regen sequence I have talked about for days. Equities are bouncing hard after technically falling into disarray.

Whether this is just buying time by the ECB by talking down sovereign debt interest rates or it really is the precursor to more action, whatever the case, it is having its effect as the Spanish rates fell back under 7% on the "talk".

Technically we are in no-mans land. It's not a place to be shorting which I have stressed of late but its also not a place to be doing much in the way of buying. It's a time where you have to let the dust settle before you get back to work.