Europe summit surprises with bold moves
Don Melvin - The Associated Press
German Chancellor Angela Merkel, center, speaks with European Central Bank President Mario Draghi, left, and Italian Prime Minister Mario Monti during a round table meeting at an EU Summit in Brussels on Friday, June 29, 2012. European leaders have agreed to use the continent's permanent bailout fund to recapitalize struggling banks, and agreed to the idea of a tighter union in the long term.
Leaders of the 17 countries that use the euro agreed they will let funds intended to bail out indebted governments funnel money directly to struggling banks as well. They said the move will "break the vicious circle" of bank bailouts piling debt onto already stressed governments.
European Council President Herman Van Rompuy called it a "breakthrough." Global stock markets and the euro rallied hard.
- Already a subscriber?
Sign in to read full article.
- Not a subscriber?
Subscribe now and get full access!