Traders are anxiously awaiting definitive news on the actions Europe will undertake as it attempts to repair the European Union and reduce debt levels among multiple member states.

Markets as such have been relatively low volume and choppier than usual due to uncertainty about the outcomes that will occur in Europe. Friday is seen as a critical day when France and Germany will lead a meeting and try to get member states to agree to automatic penalties when their debt-to-GDP ratios skyrocket.

“The indices are stuck in a range as traders wait for clarity out of Europe, which could come as early as Friday,” noted one Chicago-based proprietary trader

As a result of equity inactivity, commodities have come into play as some traders look to diversify and hedge in a market that is becoming increasingly unpredictable. Precious metals, particularly palladium, have been in play.

“Traders wondering about the ECB rate cut as well as end of year trading volume decline is creating a perfect storm for volatility,” the trade added. “The equity markets are still a slave to the currency markets as coordinated buying and selling within the dollar/euro wags the commodity dog.”