Evening Update: 2011-08-10
Aw.. What a day.. Again! This morning Europe was down big. DOW down 520, S&P 500 down 52 and NASDAQ 100 down 102.
- SocGen denied that it is facing any liquidity problem. That didn’t stop European indices going down by 3.0 to 5.5 percentage points
- Add to European bank and sovereign debt troubles, Bank of America’s trouble here at home have weighed on markets heavily.
- Flight to perceived safety continues.
- Gold futures printed $1800/oz
- The Swiss tried to stop stampede into Swiss Franc by increasing the supply. Last week when they sold more Franc, it stayed down for a few hours. Today, Franc stayed down just for 90 min before it resumed its ascent from where it left off before the intervention.
Speaking of flight to Swiss Franc… Take a look at this fresh chart (Courtesy – FT Alphaville). Interest rate on Swiss 3-month bills went negative.
The panic continues