Ok, so Spanish stocks are on the rebound on Thursday amid talk that the Catalan independence push is set to “stall.”
Earlier this morning, Spain’s constitutional court suspended a Catalan parliament session planned for Monday in an attempt to prevent Carles Puigdemont from making good on his promise to declare independence.
“Upholding a challenge by Catalonia’s Socialist party, which opposes secession from Spain, the court ruled that allowing the regional parliament to meet and declare independence would violate the rights of the party’s MPs,” The Guardian reports, adding that “the court warned that any session carried out in defiance of its ban would be null and the parliament’s leaders could face criminal action if they ignore the court order.”
Obviously, it’s impossible to know how this will play out, but what we do know is that Spanish stocks are on pace for their best gain since the day after the first round of the French elections:
And it’s a good thing, because people were getting nervous.
In fact, the iShares MSCI Spain Capped ETF had its biggest single-day outflow since 2000 yesterday:
