About the Morning Market Rally

Stocks See Classic Risk-On, Reflation Trade

Interesting rally Tuesday, right from the start, with the Dow moving almost 140 points from its opening low of down 60. (Read more: Stocks Push Higher; Nasdaq Now Positive)

Most interesting move was the drop in Spanish 10-year yields; there has been some vague speculation that the ECB may begin buying Spanish bonds soon. Some desks have been passing around this article, poorly translated from Spanish, in which Pimco's Andrew Ball speaks bullishly about Spain.

Also remember, President Obama is meeting with labor and business leaders today and tomorrow on the fiscal cliff; there is lots of headline expectations. (Read more: Unions Hoping for Comeback: Obama 'Owes Them Big Time')

—By CNBC's Bob Pisani

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