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Between Hypo and DeutscheBank, fully 90% of German GDP is at risk...and, guess what, the Wonderlanders (thats the EU crowd, in my slang) havent got NEARLY the mechanisms in place to bail their butts out.

America might be headed for a recession but it looks like Europe is headed for a very nasty recession. Smart Freepers shouldn't gloat too much, though. It will be interesting to see how this plays out politically everywhere as European institutions start to unravel.

Who's gloating? I'm a trader, mate. All I look for is opportunity, having given up completely on the ''integrity'' of governments long ago.

I'll tell you this right now: buying the CME Eurodollar December 9712-strike or 9725-strike call options right now, and selling an equal number of the November 9712- or 9725-strike call options is almost certainly profitable over 30-45 days, and MIGHT be enormously profitable.

This is called a 'calendar spread' or 'time spread'. The margin required, for each spread you put on, is $40.00. Each tick in Eurodollar contract is $25.00. You risk less than 4 ticks (plus commissions) per spread and stand to make between 3 and 20 ticks per spread by 1 November, with further chances of enhancing your profit after that.

Won't speak for you, but that's a plenty good enough opportunity for me.

FReegards!