Foto del 9 de octubre del 2011 del presidente franc?s Nicolas Sarkozy, derecha, y la canciller alemana Angela Merkel tras dialogar en Berl?n sobre la crisis financiera europea. Un desacuerdo entre Francia y Alemania quiz? impida a los l?deres de la eurozona concordar el martes, 18 de octubre del 2011 en un plan de rescate para Grecia. (Foto AP/Martin Meissner)
Foto del 9 de octubre del 2011 del presidente franc?s Nicolas Sarkozy, derecha, y la canciller alemana Angela Merkel tras dialogar en Berl?n sobre la crisis financiera europea. Un desacuerdo entre Francia y Alemania quiz? impida a los l?deres de la eurozona concordar el martes, 18 de octubre del 2011 en un plan de rescate para Grecia. (Foto AP/Martin Meissner)
German Chancellor Angela Merkel delivers her speech during a farewell ceremony for the outgoing president of the European Central Bank (ECB) Jean-Claude Trichet at the old opera house in Frankfurt, Wednesday Oct, 19, 2011. (AP Photo//Kai Pfaffenbach, Pool)
RETRANSMISSION FOR ALTERNATE CROP - French President Nicolas Sarkozy leaves the old opera house in Frankfurt, Germany, Wednesday, Oct. 19, 2011 after a meeting with German Chancellor Angela Merkel. (AP Photo/dapd, Thomas Lohnes)
French President Nicolas Sarkozy arrives in Frankfurt, Germany, Wednesday, Oct. 19, 2011 to attend the farewell ceremonies for leaving President of the European Central Bank (ECB) Jean-Claude Trichet. (AP Photo/dapd, Thomas Lohnes)
LONDON (AP) ? Markets appeared to be not overtly concerned that Europe will not be able to come up with a comprehensive plan to deal with its crippling debt crisis in time for a weekend summit.
Europe's main stock markets all opened higher Friday despite confirmation that Germany and France will not be able to bridge their differences in time for a summit Sunday, forcing them to call a second meeting, by Wednesday at the latest.
Sunday's summit was supposed to deliver a comprehensive plan to finally get a grip on the currency union's debt troubles by detailing new financing for debt-ridden Greece. It also was supposed to produce plans to make Europe's banks fit to sustain worsening market turbulence and further empower the eurozone bailout fund.
It seems that Europe's two biggest economies are at loggerheads over how to make best use of the bailout fund, the so-called Euroepan Financial Stability Facility, or EFSF. While France is proposing to turn into a bank, which would have access to unlimited credit from the European Central Bank, Germany appears reluctant to sanction such a move .
"Considering the importance of the discussions and there potential impact upon the European economy, global capital markets and the future of the EU itself a delay of a few days is neither here nor there in the overall scheme of things," said Gary Jenkins, an analyst at Evolution Securities. "However the suggestions that they are still far apart on how to make best use of the EFSF is of some concern."
What to do about the EFSF doesn't seem to be the only point of contention.
Germany and several other rich countries have been pushing for banks and other private investors to take steeper losses on their Greek bondholdings, before the eurozone can sign off on a second multibillion euro rescue package for the struggling country.
France and the European Central Bank have so far opposed forcing banks to write off more Greek debt, fearing that would destabilize the banking sector and worsen market turmoil.
Associated Press
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