One important element is reports that Germany and France are considering more rapid moves towards greater budget discipline for eurozone countries. That might make the European Central Bank more willing to take stronger action. One argument against the ECB intervention until now is that it might ease the pressure on governments that need to fix their finances. There's also been a report that the IMF is discussing an
emergency loan
to Italy. The IMF says it's not true, but the markets still seem to think there might be something to it.
Meanwhile, EU leaders have promised to
push for
more integration after meeting President Obama at the White House. The commission president Jose Manuel Barroso said there must be greater budget discipline for countries that use the euro.
The emir of Kuwait has accepted the resignation of the country's government amid a growing crisis over corruption allegations. The Prime Minister Sheikh Nasser al-Mohammed al-Sabah said that the cabinet had resigned in the national interest. The decision came a day before he was due to be questioned in parliament about the alleged payment of bribes to pro-government MPs.
Sudan has blocked oil exports from
landlocked
South Sudan in a dispute over transit fees. It said the South owed almost $730m in unpaid expenses incurred since it gained independence in July. The question of transit fees is one of the most contentious unresolved issues between the two countries.