Rudi, weekly insights: Then again, Friday's shock has weakened...

Rudi, weekly insights:

Then again, Friday's shock has weakened the global economic and financial constituency and it would only take one negative follow-up event to pull financial markets into a negative spiral once again. Back in 2007 investors and policy makers thought all the pain was concentrated in Bear Stearns and a handful of cavalier hedge funds. Turned out there was much more brewing underneath the surface of the US mortgage industry. We don't know yet who has been caught out, what is the damage and whether anyone is fighting for survival after Friday's shock event.