Morning Reading – November 29, 2010

Models & Agents: Cross-border deleveraging and the shifts in Europe’s bargaining game

While high-ranking eurozone bureaucrats are ruminating on the appropriate burden-sharing mechanisms of a future Europe, something potentially more momentous has been going at the background: European banks have been cutting back their intra-European exposures… fast!

FT Alphaville: Here come the hot inflows into China

As we have written before, one reason China is possibly dithering on raising rates is because it wants to discourage hot money inflows into the region, since all they do is cause China to print more domestic money of its own.

FT Alphaville: Mama mia, che cos’è questo?

This is the Italian government bond yield (via Bloomberg) on Monday…

FT Alphaville: Hello, Sisyphus

Now here’s an interesting Greek coda to the weekend announcement of loans for Ireland.

The Irish loans had strikingly longer terms (seven years) than had been expected based on current EU/IMF lending to Greece (three years).

The Big Picture: Improving Holiday Sales Reflect Economic Recovery

The numbers are coming in, and so far, the Holiday shopping season is off to a very respectable beginning. Mall Traffic, retail sales, even dollar volumes are all up. In some areas, improvements have been quite significant. Online sales saw very large gains.

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