i smell fear, page-210

Yes and No, I have posted this a number of times... when the TED turns we know that liquidity and Interest rate stability is returning.

At the moment TED has his head stuck in the oven



As you can see from the below which is the TED (3 month spread of the Interbank Lending Rate (LIBOR)), Banks are borrowng from each other at around 3.5% per quarter which equates to areound 14% per annum. At this rate they can borrow from their own Country Banks (Bank of England, Fed Reserve, Reserve Bank etc) at a lower rate.

Hence the reason for the bailout from Treasury to increase $700Bn to the US economy at lower rates than LIBOR.

The World needs to see TED turn when TED turns we are know we are coming out of the Storm.