Regarding the most urgent current challenges the Heads of State and Government of the euro area agreed on 26 October on a set of measures to restore confidence and address the current tensions in financial markets.
Although the business cycle has not disappeared, flexibility has made the United States and the United Kingdom, and much of the remainder of the global economy more resilient to shocks and more stable during the past couple of decades. Nonetheless, the piling up of dollar claims against U.S. residents is already leading to concerns about concentration risk.