European leaders agreed on Saturday to strengthen the euro zone bailout fund, make its loans cheaper and lower the interest rate on loans extended to Greece, a move to get on top of the year-long debt crisis.
Euro zone leaders agreed in principle on Friday to write limits on public debt and budget deficits into national law, meeting a German condition for a stronger euro zone financial safety net.
Portugal announced new spending cuts on Friday to try to restore confidence in its finances ahead of a euro zone summit that is likely to back a plan to boost competitiveness but defer decisions on a stronger rescue fund.
Portugal announced additional spending cuts and reforms on Friday to increase its deficit-cutting efforts by 0.8 percent of gross domestic product this year and provide extra certainty that it will reach its target of a 4.6 percent fiscal gap.
Global stocks fell to their lowest in nearly six weeks on Friday and government bonds rose as a huge earthquake in Japan and expectations Portugal will have to seek financial aid prompted a sell-off in risky assets.
Euro zone leaders are set to agree a competitiveness pact at a summit on Friday and will push Portugal to announce new reforms to increase market confidence as they seek to draw a line under the regions' debt crisis.
Libyan officials have arrived in Brussels, Belgium for talks with European Union delegates, just before the EU foreign minister meet to discuss the crisis in Libya, according to Al Jazeera.
The Dow rebounded on Wednesday with a jump in IBM's stock on its 2015 outlook, but the Nasdaq fell as a weaker-than-expected earnings target from Texas Instruments weighed on the chip sector.
Portugal's two-year cost of borrowing hit the highest level since it joined the euro in a bond auction on Wednesday, and the government said yields were unsustainable in the long run without Europe-wide action.
Stocks fell on Wednesday as oil prices advanced on continued turmoil in Libya and as a bond auction in Portugal failed to ease concerns the country would need a bailout.
Stocks were poised for a lower open on Wednesday, with oil prices edging higher on continued turmoil in Libya, and as a bond auction in Portugal failed to ease concerns the country would need a bailout.
Stock index futures edged higher on Wednesday as oil prices held steady after an OPEC official said the group saw no need for a meeting to discuss raising output even as turmoil in Libya continued.
U.S. stock index futures rose on Wednesday as oil prices held steady after an OPEC official said the group saw no need for an emergency meeting to discuss raising its output even as turmoil in Libya continued.
Concerns about the euro zone debt crisis weighed on world stocks and lifted Portugal's yields to a new euro-era peak on Wednesday, while crude oil held steady off highs following reassurances on supply from OPEC states.
Last Thursday, the president of the European Central Bank (ECB) Jean-Claude Trichet vowed “strong vigilance” over inflation and said a rate hike is possible at the next meeting.
Oil fell from recent highs on Tuesday on reports that OPEC may boost production, prompting some recovery on equity markets.
The market doesn't seem to care about the European debt crisis right now.
The Gold Price rose new all-time highs vs. a falling US Dollar on Monday morning in London, hitting almost $1445 per ounce as European stock markets held flat and major-economy government bonds slipped, nudging interest rates up.
The head of the European Union's safety net for countries struggling with public finances said on Saturday he did not think any more members would have to tap the euro zone rescue fund, for now.
Ireland's prime minister in-waiting Enda Kenny will again press for a cut in the cost of an EU rescue package when he meets with German Chancellor Angela Merkel this week.
The European Central Bank may hike interest rates next month, far earlier than markets expected, though any rise would not signal a series of increases, President Jean-Claude Trichet said on Thursday.
The European Central Bank said on Thursday it could soon raise interest rates, heightening concerns about the implications for struggling euro zone countries as EU leaders strive to find a solution.
