K.S. Rajan (28 Oct 2011)
"report by bill koenig"


European leaders cajoled bondholders into accepting 50 percent writedowns on Greek debt and boosted their rescue fund’s capacity to 1 trillion euros ($1.4 trillion) in a crisis-fighting package intended to shield the euro area.
The 17-nation euro and stocks climbed while bond spreads narrowed after leaders emerged early today from a 10-hour summit in Brussels armed with a plan they said points the way out of the quagmire, albeit with some details still to be ironed out.
“Overall the outcome is better than we anticipated one week ago,” Laurent Bilke, global head of inflation strategy at Nomura International Plc in London, said in an interview. “There are several issues left open, but I do believe that getting a more necessary debt relief for Greece is a pretty important step.”
Euro Deal 'Long Intentions, Short Details': Analysts
The much-anticipated euro zone deal announced in the small hours of Thursday morning is far from a final solution to the region's debt crisis, analysts told CNBC Thursday.
The deal provided detail on the 50 percent haircut required for Greek debt, a clearer vision for how to leverage the 440 billion euro ($600 billion) European Financial Stability Facility (EFSF) up to an additional 1 trillion euro, and targets set for the recapitalization of the area's banks.
Yet there are still several key aspects which have not been addressed.
Sarkozy Said to Plan Plea to China for EU Fund

French President Nicolas Sarkozy plans to call Chinese leader Hu Jintao tomorrow to discuss China contributing to a fund European leaders may set up to bolster its debt-crisis fight, said a person familiar with the matter.
The investment vehicle was one of the options being considered by European leaders at a summit tonight to expand the reach of its 440 billion-euro ($612 billion) European Financial Stability Facility.
Sarkozy’s plea to his Chinese counterpart would come the day before a planned visit to Beijing by Klaus Regling, chief executive officer of the EFSF, to court investors.