ECB tries to soothe volatile markets

European Central Bank President Jean-Claude Trichet said Monday that jittery markets are overestimating risks. He called for markets to be calm, saying the euro-zone central bank stood ready to provide money markets with all the liquidity they needed for as long as they need. Euro currency governments such as Germany and Ireland that have guaranteed all private savings were shouldering their responsibilities, he said. "We are able to react promptly and it seems to me in a fashion which is correct," he said. Trichet said Europe had shown in the last week — with joint government bailouts of Fortis and Dexia — that they could coordinate and form a common response in a very difficult situation even though there are no EU-wide rules requiring all governments to act in concert. Today in Business with Reuters Credit markets barely... [read full story]