Positions set out before EU summit

The euro crisis continues.  Nothing is likely to be decided at the EU summit later this week and expectation is low of any major policy changes by Germany.  The problem is that major changes in structure - fiscal and political union, the ECB changing course from  being the supplicant to German demands will require treaty change.  It will take months to effect change, even if the nations can agree.

The EU has come up with proposals which look to be a non-starter.

Meanwhile the problems in Greece, Italy and Spain continue. It looks as though the cavalry will arrive too late.

http://www.telegraph.co.uk/finance/financialcrisis/9357592/Angela-Merkel-rules-out-eurobonds-for-as-long-as-I-live.html

http://www.telegraph.co.uk/finance/financialcrisis/9355865/EU-would-be-allowed-to-change-countries-budgets-under-draft-plans.html

http://www.consilium.europa.eu/uedocs/cms_data/docs/pressdata/en/ec/131201.pdf

and: http://www.spiegel.de/international/europe/eu-economists-offer-third-way-for-saving-euro-a-841009.html.

also:  http://blogs.telegraph.co.uk/finance/jeremywarner/100018189/a-hopelessly-misconceived-blue-print-for-europe/

http://www.spiegel.de/international/europe/george-soros-says-germany-must-change-course-on-euro-crisis-a-841061.html

http://www.telegraph.co.uk/finance/financialcrisis/9355776/Germany-risks-being-centre-of-empire-that-caused-eurozone-collapse-warns-George-Soros.html

http://www.spiegel.de/international/germany/germany-debates-referendum-over-euro-zone-integration-a-841014.html

http://www.spiegel.de/international/europe/debt-crisis-threatens-the-european-way-of-life-a-840643.html