Eurozone promises comprehensive medium-term anti-crisis plan (Eurointelligence)

13.01.2011

EU’s finance minister promise to work out a strategy within two months that will almost include an EFSF with a wider remit and a higher ceiling; Barroso says decision possible at next EU summit on Feb. 4; Merkel said fund size sufficient, but Germany was ready to do whatever is necessary; Portuguese bond auction success, with 10-year bond at 6.71%; euro recovers after Portguese bond auction, and peripheral bond spreads narrow; FT Deutschland says support for a higher EFSF ceiling comes at a wrong time; Brussels plans one-off bank levy; Andrea Enria, an Italian central bank, is to head the new European Banking Authority; the head of the Italian Treasury says Italy is not Spain; Sarkozy is contemplating the scrapping of the wealth tax; Ireland seeks private insurance against banking losses; Kenneth Rogoff, meanwhile, predicts that the euro stands to the win the race to the bottom.

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