. Endogenous Liquidity Watch. Tumbling! Needless to say, our Endogenous Liquidity Index tumbled last week (-6.1%). The fall was led by rising financial volatility measures — a clear message to complacent "Global Decoupling" bulls. CDS and junk bond spreads were sharlpy up; our market-based measure of financial innovation suffered less devastating losses. The index now trades at levels not seen since September 17, when markets for risky assets began to recover from the mid-August collapse.