Even the Chinese have abandoned their inflation focus but the ECB hangs doggedly to its dogma. Mersch is on the wires harping on second round effects and saying core inflation is intolerably high.
Elsewhere on the wires, NY State Governor Paterson says he will float AIG a bridge loan by allowing the firm to tap capital held by subsidiaries. Shares are up toward $6 on the news, as well as talk that Buffett may make a play.
