Central Banks Coordinate to Provide Massive Liquidity to the Financial Markets

I guess the central banks must be reading my blog! Overnight their was coordinated action to inject as much as $180 billion through an extension of swap lines. This is a very, very good thing and helped stave off futher market losses in Europe and Asia. This type of action does not make all the problems go away, but it is like inflating a giant air cushion under the markets. The image that comes to mind is what the firefighters do when they are afraid someone is going to jump off a building. My hope is that it gives the markets, both equity and debt, some breathing space.