Worrisome data for the Euro-zone

   According to the Wall Street Journal, "more worrying signs from Europe. Euro-zone money supply and credit data are a real worry. M3 barely grew in October, and the pace of credit contraction increased. Set alongside already very low inflation and few signs of price pressures in the pipeline and Thursday’s data raise the specter of outright deflation. A weakening German labor market suggests the malaise has started to infect the core. Europe clearly needs monetary medicine. If there’s a bright spot, it’s that economic sentiment picked up slightly in November. Nonetheless, central banks that have doled it out are being rewarded with growth: Japanese retail sales showed solid growth in October; and the Bank of England has even had to pull back some of its lending subsidy in the face of a rampant housing market.