Non-Italian European banks are holding more than EUR 425bn of sovereign and private Italian debt
While markets are still comfortable with Italy slipping into recession in 4th quarter 2018, a potential sell-off could not only threat Italian banks, but also lead to contagious effects in France and other European countries
The BoJ bought 867.6 billion JPY (7.7 billion USD) of ETFs through the month of October, the highest amount of monthly purchases since policy inception
Nevertheless, the Topix Index is headed for its worst month since the global financial crisis, and thus, it can be assumed that the BoJ is trying to soften the sell-off by actively intervening through ETF purchases
Americans kept opening their wallets to spend in September while less cash flowed in, pushing down the personal savings rate to the lowest level in 2018.
At 6.2 percent, the rate also matched the lowest since 2013. The Commerce Department’s report on personal income and spending, released Monday, showed that wages and salaries increased 0.2 percent from the prior month, the weakest gain in almost a year (Source: Bloomberg).