So what was it that spooked the markets… Well… The only thing I can find was the report yesterday about falling Housing Starts that Chris told you about… Did you know that about 14% of US homeowners were either delinquent on their mortgage or in some stage of foreclosure? That is the highest rate since the group started collecting the data in 1972!

But there was something else that was announced as the day went on, that I think probably spooked the markets more than anything else… And that is a key House panel approved two amendments to a sweeping financial-overhaul bill that would give federal watchdogs new authority to audit the Federal Reserve, and would establish a fund of as much as $200 billion to help dissolve large, troubled institutions. Rep. Ron Paul (R., Texas) offered the amendment seeking to subject the Fed to audits.

Bernanke sticks to the script…  Pound sterling comes under pressure…  China starts shopping for assets…  BRIC MarketSafe lights up the phones… And Now… Today’s Pfennig!

Euro gains, then loses, then gains…  Inflation and Commodities…  The euro turns 10!  Risk Aversion remains but is waning… And Now… Today’s Pfennig!

It’s the European Central Bank’s 10th birthday party. But not everyone is celebrating… It’s set to be a bubbly few hours in Frankfurt this Monday. The European Central Bank (ECB) is ten years old this weekend, and the bureaucrats at its German HQ have planned quite a party.

Questioning the Fed’s moves… Euros slow down… Aussie hits 25-year high… Oil hits $135!