• Swiss National Bank draws a line in the sand on the currency versus the Euro at 1.20 Francs. Now comes the challenge of maintaining that level. Concerns that Japan might be next. From Reuters.
• The U.S. lawsuit claiming misrepresentation by major banks of mortgage-loan securities pressured bank shares in Europe Monday. 17 major banks are claimed to have misrepresented the risks on $200B in mortgage securities to Fannie Mae and Freddie Mac. The suit comes at a time when global banks continue to be pressured by sovereign debt issues and quickening slow-down in growth. From the Wall Street Journal.
• Deutsche Bank’s Ackermann delivers a gloomy view. He warns of a weak banking environment potentially leading to layoffs. Mark to market on sovereign debt could lead to insolvency for some smaller banks. From the Wall Street Journal.
• More weak economic news out of Germany as factory orders fall more than anticipated. From Bloomberg.