Markets have recovered sharply from the lows seen at the beginning of the month with the exception of the Japanese market which continues to struggle.
The stress tests for the European banks came out better than expected restoring confidence in the Euro which moved up 10% against a weaker dollar.
Sterling has also strengthened against the dollar and the yen along with the euro.
Here in the UK the bank reporting season has produced strong results from the major banks and this has pushed the FTSE 100 index back above 5300.
Manufacturing continues to improve in the UK and US and last night better than expected employment figures in the US improved confidence.
The economic recovery is still considered fragile and every piece of economic data is being scrutinised and analysed for evidence of a potential double dip or recovery.
Companies however continue to report improving trading conditions and with the Federal Reserve and the Bank of England continuing with very low interest rates to balance the increased taxation the recovery should continue.
Markets will have more to contend with if interest rates start to rise sooner than expected to contain demand and inflation.
Most current predictions are for interest rates to remain low for the rest of this year.
The Bank of England has kept interest rates on hold again this month
