Dual-track Libor replacement lined up: "The scandal-plagued Libor benchmark is likely to be replaced by a dual-track system with survey-based lending rates running alongside transaction-linked indices as soon as next year. Top hedge funds bet on Greek banks: "Some of the world's leading hedge funds are pouring money into the Greek banking sector in expectation of huge potential returns, even as the country struggles to right its economy in the face of deep government spending cuts." Schäuble warns EU bank rescue agency needs treaty changes: "Germany's finance minister has warned that a single EU bailout agency and rescue fund for ailing banks is legally untenable until the bloc's treaties have been overhauled. In today's Financial Times, Wolfgang Schäuble calls for a "two-step approach" that would leave bank rescues in the hands of "a network of" national authorities until treaty changes can take place." G7 reaffirms commitment on currency depreciation: "The world's leading finance ministers gave their tacit approval to the soaring US dollar and plunging Japanese yen at the weekend, but international divisions over economic strategy and European banking union remained unresolved. Bloomberg alerted to access issue in 2011: "Bloomberg knew in 2011 about the privacy issue that has concerned powerful clients including Goldman Sachs, JPMorgan Chase and the Federal Reserve, but failed to close the loophole until Goldman's recent complaint that reporters had kept track on its partners using private terminal data. Executives at the financial data company, whose terminals sit in trading floors, hedge fund offices, law firms and central banks around the world, were alerted to reporters" ability to see when clients log on to their terminals and which functions they use when a reporter mentioned the practice on Bloomberg TV, people familiar with the situation said." Mittal urges EU to protect itself against China imports: "Lakshmi Mittal has urged Europe to erect trade barriers to protect its manufacturers as the Indian steel tycoon attacked policy makers for stifling demand through tough austerity measures. Bischoff to take his leave from Lloyds: "Sir Win Bischoff, who has overseen a radical restructuring and return to profitability at Lloyds Banking Group, is stepping down as chairman of the part-nationalised bank this year. Esure hit by fallout over ex-HBOS director: "Esure has been accused of downplaying in the run up to its recent London stock market launch the role that one of its directors played at HBOS before the lender collapsed. The insurance group has been criticised for failing to point out in the prospectus for its flotation that Tony Hobson, who oversees Esure's investment strategy, chaired HBOS's audit committee between 2001 and 2008. The Fed dials the wrong unemployment number. Gavyn Davies There is zero correlation between the Fed printing and the money supply. Mark Dow Bernanke haters at the Sohn Conference. Brad DeLong Why they hate. Joe Weisenthal How Ben Bernanke saved Europe's banks. The Globalist Asian markets Nikkei 225 up +225.76 (+1.55%) at 14,833 Topix up +24.12 (+1.99%) at 1,235 Hang Seng down -215.03 (-0.92%) at 23,106 US markets S&P 500 up +7.03 (+0.43%) at 1,634 DJIA up +35.87 (+0.24%) at 15,118 Nasdaq up +27.41 (+0.80%) at 3,437 European markets Eurofirst 300 up +4.34 (+0.35%) at 1,233 FTSE100 up +32.24 (+0.49%) at 6,625 CAC 40 up +25.25 (+0.64%) at 3,954 Dax up +16.04 (+0.19%) at 8,279 Currencies €/$ 1.30 (1.30) $/¥ 101.83 (101.80) £/$ 1.54 (1.54) Commodities ($) Brent Crude (ICE) down -0.82 at 103.09 Light Crude (Nymex) down -0.74 at 95.30 100 Oz Gold (Comex) down -7.10 at 1,430 Copper (Comex) down -0.60 at 335.00 10-year government bond yields (%) US 1.93% UK 1.88% Germany 1.38% CDS (closing levels) Markit iTraxx SovX Western Europe -0.13bps at 89.89bp Markit iTraxx Xover +3.61bps at 382.7bp Markit CDX IG +1.07bps at 72.02bp