Like Citi, the government is stepping in to assume the losses on a chunk of BofA/Merrill’s bad assets. They will also get a chunk of fresh capital. The market seems to be taking the news well with stocks up nearly 1%, a major turnaround on the day.
EUR/JPY reached 118.65 and now trades at 118.30. USD/JPY reached 90.00 before stalling.
