• Further extreme sovereign debt volatility in Euro zone
  • Risk more members forced to seek EU/IMF aid
  • Confidence in bank asset quality falling in periphery, weighs on ratings
  • Euro zone debt crisis is systemic, reflects concerns on viability of euro as well as country-specific vulnerabilities
  • Mixed messages from policymakers adding to fragility of investor confidence

Sounds about right, for once…

EUR/USD is easier, now at 1.3423.