EUR/JPY is softer this afternoon but velocity is surprisingly muted. EUR/USD and EUR/JPY fell sharply during the US morning but the decline has been much less pronounced during the afternoon despite the accelerated losses on Wall Street. Commodities ended the day well off their highs but firmer on the day on hopes Chinese stimulus will help bolster sagging demand for natural resources.

Corporate woes continue to build with both GM and their credit subsidiary GMAC bioth under pressure. GMAC subsidiary ResCap may not survive, GMAC said today.