Credit default swaps on Lehman Brothers debt netted out to $5.2 bln according to the Depository Trust and Clearing Corp. They apparently settled without claiming any victims as had been feared. One less thing for the market to worry about, but there is still plenty to worry about.
USD/JPY has slipped back below 98.00 as stocks extend their slide as the afternoon wears one. While credit markets are thawing, recession fears continue to spread from developed to emerging markets and back. The dollar and JPY and to a lesser extend the CHF are providing relative safe harbors.
