[Zakeet]

Here We Go: US Futures Plunge As Milan, Dax Down 5%, Italian Fins Halted, EURUSD Sub 1.41

It is unclear what just spooked the market, but whatever it is, stocks have had enough fun for the day. After the ECB just announced that it had monetized a whopping E13.3 billion in the past week, nearly double expectations, and a total of E134 billion since the SMP program's inception, the market took one quick look at just how effective this program has been, shuddered, and plunged realizing that neither ECB intervention, nor the shorting halt is doing anything at all. As a result, ES is now down 21, EURUSD just dropped below 1.41 (Chinabot is about to give up), and rolling halt of Italian banks have started, with Intessa, Mediaset and Impreglio all halted. We expect UniCredit to follow suit as usual.

[ken5050]

The game's over in Europe...it can't be fixed..and there is no sense throwing good $$ after bad down the same rathole..it can't even be papered over any more....the "kick the can down the road and hope and pray" approach..

The Germans won't waste any more $$ to let Greeks retire at age 50, and if Merkel keeps trying...she'll be tossed out ....her party justhad a big loss in a regional election..a hint of what's to come..

[the invisib1e hand]

It is unclear what just spooked the market...

Kidding, right?

THE International Monetary Fund has called on the US and Europe to abandon fiscal austerity and switch to stimulus measures, warning that the global economy faces a ''threatening downward spiral''. [emph added]

Read more: http://www.smh.com.au/business/imf-urges-stimulus-over-austerity-20110905-1ju39.html#ixzz1X5UqWhI2

And this when the US isn't around to pick up the slack.