The German Chancellor Angela Merkel has backed a controversial call by Turkey to impose a no-fly zone over northern Syria. She said it would help alleviate the refugee crisis: “In the current situation it would be helpful, if there could be such an area, where none of the parties are allowed to launch aerial attacks, that is to say, a kind of no-fly zone“ Turkish President Erdogan threatened Europe with a new migrant wave renewing calls for no-fly zone in Syria just days ago.

Are we really having this conversation? Is this a real question? Where am I from? @roddreher @tobydanna @WAFB https://t.co/VCCvD02Qjl

— Caleb Bernacchio (@calebb_caleb) February 15, 2016

WAFB is a Baton Rouge television station. And yes, we are having this conversation. The thing is, the answer to this real question might really turn out to be, “Hell, no!”

As traders slowly (and then quickly) woke up to the fact that a "freeze" at record levels of production is not a "cut", WTI Crude has collapsed over 5% from its hope-stricken illiquid highs of early trading - now back below $30.

As Barclays warns:

• OPEC OUTPUT FREEZE WOULD LEAVE 1Q SURPLUS OF 1M B/D: BARCLAYSOIL UPSIDE LIMITED EVEN IF OUTPUT FREEZE SUCCESSFUL: BARCLAYS

And the reaction to reality...

And this is taking the shine off the equity market exuberance...

The world let out a collective gasp of shock last night when the PBOC announced that in January, China had created an absolutely gargantuan CNY3.4 trillion in new total debt (Total Social Financing) - or about $520 billion - more than 50% higher than expected, of which CNY2.1 trillion was in the form of new loans.

The breakdown of that massive number is shown in the table below:

What happened? Here is Goldman's explanation:

• Oil eases off highs after output freeze agreement (Reuters)
• Saudis and Russia agree to oil output freeze, Iran still an obstacle (Reuters)
• China Loses Control of the Economic Story Line (WSJ)
• Obama starts work to pick Supreme Court justice amid political 'bluster' (Reuters)
• The Never-Ending Story: Europe’s Banks Face a Frightening Future (BBG)
• Apollo Global to buy security services company ADT for $7 billion (Reuters)
• Anglo Hastens Retreat From Coal, Iron Ore as Losses Double (BBG)
• Markets Putting Faith in QE4 (WSJ)