Paulson on the economy

If you're interested, here are some remarks on the economy from Treasury Secretary Henry Paulson that were just released. The up-front summary of their content:

"We are working through a severe financial crisis caused by many factors, including government inaction and mistaken actions, outdated U.S. and global financial regulatory systems, and by the excessive risk-taking of financial institutions. This combination of factors led to a critical stage this fall when the entire U.S. financial system was at risk.

"This should never happen again. The United States must lead global financial reform efforts, and we must start by getting our own house in order.

"The most significant discussion of financial system reform in the last 60 years has begun. This debate offers great opportunities -- and great peril. The events of the last year have exposed excesses and flaws that are, to put it mildly, humbling. If we do not correctly diagnose the causes, and instead act in haste to implement more rather than better regulations, we can do long term harm."

Meanwhile, keep an eye on the bonds and the dollar here. Both are attempting to close today's trading session at fresh highs. Of course, given how volatile the markets have been lately, there's no guarantee that won't change in the next hour or two.