Will the Central Banks intervention work?

The seriousness of the problem facing the world economy is illustrated by the five central banks are acting in concert to pump $110bn into the money markets. The Bank of England and the Federal Reserve are both reversing their previous positions that the banks should sweat a little.

Worryingly, the initial market reaction to the move has been far from positive. Stocks fell in Asia overnight while the Dow and the FTSE only finished yesterday marginally up on the news.