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Tuesday, September 6, 2011

Libor 3-Month Daily Chart

Banks are reluctant to lend. The Libor is the rate at which London-based banks say they can borrow. The Libor 3-month climbs to the highest level in one year.  Note the sharp rise that occurred as the equities markets topped in April 2010 and the summer of 2010 swoon that followed, only to come back down after Chairman Bernanke announced QE2 in August-September 2010.

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