A trader works on the floor of the New York Stock Exchange. Photo: AFP/Bryan R Smith

Today’s market action is pure risk-on recovery. Bond yields are up in developed markets as the haven value of highly-rated sovereigns diminishes.

Banks are the top performers in the S&P 100, including all the index’s top five performers for the day. Banks are also among the top performers in the EuroStoxx 600, after a crushingly bad week last week. Banks have been trading pretty much in lockstep with bond yields, because lower yields mean lower margins for the lenders.