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Let us begin our market coverage again Jane Foley to join us on our next hour Tony Dwyer with

us now but right now from Edinburgh Jerry Fowler is with Aberdeen with a distinguished career in derivative

analysis which is the nuances of the asset markets. Jerry, wonderful to have you with us today.

What is the distinction you see from the derivative

markets is they explain what's going on in the core equity market?

Well I don't think in this particular case, like in examples in the past, like 2006, the

derivatives markets are having a huge impact.

You know, there probably are days when there's significant amount of gamma selling with the

volatility so elevated.

But this is much more of an interest rate type environment.

What we're thinking has been driving this is a myriad of geopolitical factors whether it's China

weakness or Italian crisis but really I think the key driver that's most

important at the moment is the libel rate because even though the failure has

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