US Crisis rebounds: Merryll Lynch and Lehman Brothers enter the fray

Last weekend the US damaged economy had to deal with a new severe blow. Merryll Lynch was sold to the Bank of America for $29 a share at a value of $50 billion. Meanwhile, Lehman Brothers faces the bankruptcy after failing in its attempt to find potential buyers.
The Federal Reserve board announced on Sunday several initiatives to provide additional support to financial markets, including enhancements to its existing liquidity facilities.
On Monday, the news are affecting world stocks and all the financial markets are already reacting to the crisis.

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OPEC draws a line in the sand at $100

OPEC surprised the oil market in the past week by announcing a cutback in oil production of roughly half a million barrels a day. Indirectly, OPEC made it clear that the cartel would not accept a price below $100/bbl. However, there has been a shift of sentiment in the oil market in recent months.

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