Indices have made a near 5% move from yesterday afternoon.
Japanese yen is down but Eurodollar (inverse Libor) is up very significantly : more than it was last Friday when the ECB had to pump in emergency liquidity.Global risk appetite has not returned.
And btw, the discount window cut means the fed will accept pretty much ANYTHING as collateral to lend.
How bad are things really ?
Caution !!
Started by
kaiser soze
, Aug 17 2007 07:57 AM
3 replies to this topic
#2
Insider
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Posted 17 August 2007 - 08:04 AM
Indices have made a near 5% move from yesterday afternoon.
Japanese yen is down but Eurodollar (inverse Libor) is up very significantly : more than it was last Friday when the ECB had to pump in emergency liquidity.Global risk appetite has not returned.
And btw, the discount window cut means the fed will accept pretty much ANYTHING as collateral to lend.
How bad are things really ? Very Bad!
Insider
#3
kaiser soze
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Posted 17 August 2007 - 08:06 AM
UPDATE :
EM (Eurodollar) made its highs early in the morning and is now decreasing.
Appears the discount window rate cut is making its way through the system.
To gain credibility, today better be a 90% upside day. Anything less would be another big red flag.
#4
humble1
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Posted 17 August 2007 - 09:24 AM
kaiser:
i agree, fwiw. this fits right into my longer term scenario: a long (~ three year) bear market with many false bottoms and emotional reactions to fed actions.
this is the first of a long series of fed relief dramas, imho. near the end of the bear market they will be yawners, as the recession/depression grips the economy.
