Funding back in the balance.

The article discusses the risk faced by the financial rehabilitation efforts in Europe as the sovereign debt crisis dislocated the funding markets. It says that the financial aid package signed by the European Union worth 750 billion euros was aimed at restoring confidence, which eventually failed to materialize in the following weeks after it was launched. According to the author, the huge drop in the global default rate for non-investment-grade borrowers has been pleasing for bond investors. The falling default rates is also discussed.