7th Sep Late - Greece can give 100%

Source: Zero Hedge

Summary: German court decision ok’d everything, with reservations though. Greek 1-year bond yields are almost at 100%, so something has to give soon. Finland's prime minister just announced that if there is no collateral, Finland might not participate in Greek bailout. At the moment it looks questionable will there even be another bailout, but I stick to my earlier point of view that the Finnish pols will not eat their election promises of "no collaterals, no further bailouts". 

Ok links today, stock market links were all great, Swiss Franc has a lot of material and the first Euro Crisis link is an interesting take. Deutsche Bank released a HFT-related piece, filed under Other.

Views: EURUSD still at the bottom of the range, no positions at the moment. If the action looks ok, possible longs tomorrow morning. Perhaps I'll just tweet, the tweets show up on the right hand side of this page. Or you can Follow me on Twitter!
Stock markets look like flag formations technically and suggest further waterfall ahead. Just look what the market did twice in 2008: link to chart

EURO CRISIS

The ECB data do not support the view that European banks are moving cash assets out of Europe and into the U.S.: it the Fed's QE2, that's all – News N Economics

EU Said to Delay Bank Bondholder Writedown Plan – BB

Ok roundup of themes: In Euro Zone, Banking Fear Feeds on Itself – NYT

Leaving Euro Zone Isn’t Impossible – The Source WSJ

Doubts remain about the possibility of a nation leaving the Eurozone – BNY Mellon

Netherlands: Indebted states must be made ‘wards’ of the commission or leave euro – euobserver.com

GERMANY

And we cross to Karlsruhe – alphaville FT

German court: Parliament must not be sidelined in future bail-outs – euobserver.com

Court Gives Merkel the ‘Alles Klar’ Over Bailouts, for Now – The Source WSJ

Open Europe: Explaining The German Constitutional Court Ruling – Zero Hedge

Germany’s high court decision changes nothing – Pragmatic Capitalism

Merkel says eurobonds will lead to a 'debt union' – euobserver.com

Merkel outlines steps to 'stability union' – euobserver.com

(Another) German Currency Blooper – The Source WSJ

FINANCIAL CRISIS

Shadow banking system forming in China?

Some financial innovations that aren't going to end well – Humble Student of The Markets

Bond prices in developed countries are not scared of inflation or defaults – they are scared of no growth and no inflation.

Martin Wolf gets it right – Pragmatic Capitalism

Banks Took $6B in Reinsurance Kickbacks, Investigators Say – American Banker

Bernanke's Waterloo; Midst of Deflationary Collapse or Brink of Inflationary Disaster? 12 Specific Recommendations – Mish’s

SWISS FRANC

They have tried this before, will it work now? Comments from Rabobank, Barclays, SG

What will Switzerland do with all those euros? – alphaville FT

Thoughts from a FX veteran

Does the Swiss Franc Collapse Signal “RISK ON”? – Zero Hedge

The impact of Switzerland’s dramatic action – Gavyn Davies FT

Funny SNB’s Ark – Macro Man

The SNB’s gift to CEE banks – beyondbrics FT

The Fed Gets Schooled Again on Central Banking: the Swiss National Bank Edition – Macro and other Market Musings

SNB Dares Investors to Combat ‘Unlimited’ Swiss Franc Firepower – BB

STOCK MARKETS

Few slides from SG: historical corporate profits 1969+ and analyst optimism 1997+

Profit Margins, Corporate Bonds, and Analyst Optimism - HistorySquared

Recessions: Historical Earnings Forecast Errors – The Big Picture

Full Presentation From Morgan Stanley's Ongoing "Global Equities - Thematic Bets" Call – Zero Hedge

OTHER

Summary and link to Deutsche Bank’s research piece on high-frequency trading

HFT – the trader

Crude on the Wide - Why? – Bruce Krasting