Well, well, well! Mervyn King has changed his tune. The Bank of England Governor has been at pains this year to show how serious he is about inflation. Those of us who read the Monetary Policy Committee (MPC) minutes felt we knew which side of the hawk-dove divide King was on.

Rental car or train? It’s a question I face every time I head back to England, trying to figure out the best way to travel. And after doing a few sums, there was no contest.

You can’t deny 2007 was the year of living dangerously in financial markets. So far this losing streak has continued through the first quarter—with the notable exception of soaring commodity markets!

I hate being wrong. Fortunately (or unfortunately, depending on how you view it), life has given me plenty of chances to get used to it. Today I’ve been handed another one. Lucky me.

Asian markets rallied big overnight in response to the U.S. market’s big day yesterday. Hong Kong was up 3% and the Nikkei was over 4%. So far, European stocks are following suit, but not as enthusiastically - with London, Paris and Frankfurt up less than 1%.

On Wall Street, stocks fell for a second consecutive day as the technology sector weighed following disappointing results from Oracle and Google. The pound was broadly lower this morning as weak consumer and housing data pointed to an economic slowdown.