Fed Swap Line Announcement Betrays Serious Concern

On the heels of a frantic weekend during which the Swiss government orchestrated a historic shotgun wedding between UBS and Credit Suisse, the Fed on Sunday announced a coordinated, global effort to ensure dollar liquidity gets to where it needs to go expeditiously. It's glaringly obvious that central banks and finance chiefs across the Western world are concerned about the potential for a mini-financial crisis. If that's too strong (and it probably is), suffice to say there's a disconnect betw