In anticipation of an imminent Greek default, France and Germany have agreed to a big old-fashioned bank bailout! What are the details? That’s a secret. The leaders of France and Germany have announced that they are ready to recapitalise Europe’s troubled banks and have reached agreement on a “long-lasting, complete package” to counter the bloc’s [...]

The Eurozone, led by Germany, is preparing to undertake a massive series of bank bailouts to deal with their banking crisis (don’t call it a sovereign debt crisis). Germany has begun to throw its weight behind measures to guard Europe’s financial system from a possible Greek or other government debt default, as Chancellor Angela Merkel [...]

Spain actually nationalized a couple of its banks over the weekend, but the failure of Dexia, co-owned by France and Belgium, is a bigger deal. The sudden concern over Dexia, which is heavily invested in European government bonds whose value is now in doubt, highlighted the threat that euro-zone bank failures could trip up the [...]