Fear sweeps markets as Germany rules out ECB intervention

[nadinbrzezinski]

Global investors headed for the eurozone exit on Thursday after leaders of the area's three biggest economies squashed residual market hopes for a huge intervention by the European Central Bank (ECB) to solve the sovereign debt crisis.

Fears of an imminent banking crisis are expected to intensify on Friday as inter-bank lending freezes over again, billions of euros are withdrawn from "Club Med" banks and the ECB is forced to lend more to struggling institutions. The central bank could reportedly extend the term of its loans to two or even three years.

UK borrowing costs fell below those of Germany briefly on Thursday as the yields on eurozone sovereign debt rose, the euro fell against the dollar and European equities suffered a ninth successive day of losses. Friday is expected to be no different.

http://www.guardian.co.uk/business/2011/nov/24/germany-rules-out-ecb-intervention?CMP=twt_fd

Not good at all...sorry for real world intrusion in thanksgiving.

[RKP5637]

1. I'd rather hear the bad news as it occurs! Thanks for the info! n/t

[Fumesucker]

2. A manufactured crisis...

Naomi Kline has laid it out for us, this is proceeding very much as she has said it would.


http://en.wikipedia.org/wiki/The_Shock_Doctrine

[sarcasmo]

3. I would expect the market to be down on Monday. The Planet is a ticking time bomb.

[nadinbrzezinski]

5. Tomorrow it's half day iirc.

[ThomWV]

4. An where, praytell, does all that "exit" money go?

Well, if they are selling out of one market whatever funds are rescued have to go somewhere.

[Kaleko]

7. Big-time fund managers go into commodities and cash,

some currency speculation if they are real insiders.

For the rest of us, there is a slow-motion bank run going on. A worldwide withdrawal/contraction.

For people who haven't taken their money out of the too-big-to-save 5 major banks, time to reconsider.

[RB TexLa]

6. This is why the EU needs a stronger more independent central bank

The Euro wide "EuroBonds" will happen, they will just have to push and push to get them issued. This is good for us, we are learning a lot of the things we will need to NOT do to make a North American Union strong.

[snagglepuss]

8. A North American Union? Let me puke. Americans need to figure out how to solve

its own mess and can do so by studying how Canada heavily regulates its banks.