Goldman Sach’s chief US economist says that the global losses from the credit crisis will reach $1.4 trln and that so far $800 bln has been realized. That leaves another $600 bln to go.
Also on the wires, President-elect Obama’s office says there will be no cabinet announcements this week. The market has been clamoring for a Treasury secretary since the polls closed last Tuesday…
EUR/JPY is selling off sharply late in Europe as the shine wears off the Chinese stimulus package. It may help, but the challenges are so great that no one piece of information will lift the gloom hanging over the global economy.
IN EUR/USD, support now lies at 1.2770. A break lower will look to fill the gap on the charts down to Friday’s close around 1.2715/20.
