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After eighteen yes eighteen disappointing EU -- we are finally seen some action in Brussels that's probably because actually Webster's there.
The EU leaders have agreed on steps to -- Euro zone's troubled states.
I co anchor in Brussels with the latest -- I'm not and this is a surprise to me.
It's a huge surprise a big surprise they did anything -- on the details of what they did but it was certainly needed in fact this is very.
Fourth summit in the pop -- which is being called the summit to make it'll break if the finally.
Therefore I think the pressure was -- certainly from Italy and Spain and then they'll support -- being supported by French president Francois hall on.
Really tipped the scales this time German Chancellor Angela Merkel.
Certainly must've felt isolated although people out who -- in the meeting say no she have support from other countries as well the bottom line was.
They needed to do something to relieve the pressure for Spain.
And Italy combined those two economies account for some.
Of Europe's GDP so they decided to go with the ESM the permanent bailout fund that will be established and put in place next month but fund.
Can then be tapped directly by Spanish banks that debt will not go on the Spanish government books and so you gonna break the link between the banks.
And the government -- coffers -- so it that same fund will be allowed to buy distressed bombs.
Without tour the austerity measures associated with it as long as the countries of bombs -- the country that has the trouble bonds.
Is doing everything the EU wants IE its release -- really written -- -- Italy those two measures alone also the coal for a banking supervisor.
EU leaders saying look is not perfect but it is a good stopped.
And agreed on -- something new which is a -- true.
That banks can be recapitalize.
Directly -- Certain circumstances.
And the biggest of the most important condition is that we have to put in place a single supervisory.
-- threats that.
Italy has -- it worked -- put a lot of pressure.
At the negotiating table for these results will be achieved that.
But this is it contribution of -- ideas that Italy.
Boots on the table.
Which in the end that -- -- supported by every vote be.
It's really does not ten.
-- -- -- -- intention to reply focused.
Italy may not need to access it says the the bailout fund right now but certainly the fact that they can.
Should bring confidence of the marketplace we've seen that today the -- Kosovo's Spain and Italy dropping.
Suddenly on the Spanish ten year bonds stem from close to 7% or about 7%.
Down under six and a half percent so that's some good -- certainly relieving some of the pressure as for Angela Merkel she says look I just didn't give away everything she says.
The ESM anytime some -- wants to tap into that any banks that want to.
It has to go to a vote every time in the German parliament they have a big stake in the ESM so.
You know -- could be a drama every time a bank -- to tap into it but the fact that there is something set up.
Is very encouraging and I think that's why we -- the markets -- certainly the Euro moved to an eight month high today.
-- the Communists back into the US market -- Webster -- you did an amazing job.
We -- -- gently we're glad you're you little Chevy Chase European vacation is over though and that you're coming back home.
That's I'm usually don't have a come to the -- as well last.
Two members European.
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