Euro Mess (Excerpt)

The latest mess in the Euro Mess is a reminder that Mario Draghi's pledge to do whatever it takes to defend the euro won't clean up the mess. The pledge bought time, which must not be wasted or the Euro Mess will last for years to come. The “Cyprus Moment” is yet another waste of time.

For now, the euro zone is falling deeper into recession, as evidenced by the region's weak production numbers during January. The UK is heading in the same direction. The question is how long will the Cyprus Moment last, and will it morph into Europe's Lehman Moment? I doubt it. So far, government bond yields for both Italy and Spain remain subdued.

Today's Morning Briefing: Safe Haven. (1) Upside to Europe's downside. (2) Can risk be on in US, but off elsewhere? (3) Fewer safe havens for laundering money. (4) How long will the Cyprus Moment last? (5) The dollar is a safe haven again. (6) European investors are buying US stocks. (7) A shortage of stocks as a result of buybacks & M&A. (8) Only 3,678 companies in Wilshire 5000! (9) US and OECD inflation rates remain subdued. (More for subscribers.)