Monday, December 5, 2011

6 Horsemen? Central Banks Dollar Liquidity Only Prolongs The Euro Debt Crisis

By EconMatters

Stock markets soared after the coordinated actions on Wed. Nov. 30 from six central banks around the world -- the Federal Reserve, European Central Bank (ECB), and the central banks of Canada, U.K., Switzerland, and Japan -- to provide "temporary U.S. dollar liquidity swap arrangements." Those dollar swap lines and programs are authorized through 1 Feb. 2013.

Whenever there are six central banks acting in concert, it typically suggests something serious either

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