BERLIN/BRUSSELS (Reuters) – Germany and France stepped up a drive on Monday for intrusive powers to reject national budgets in the euro zone that breach EU rules, as a market rout of European debt eased temporarily on hopes of outside help for Italy and Spain.

The OECD rich nations’ economic think-tank said the European Central Bank should cut interest rates and step up its purchases of government bonds to restore confidence in the euro zone, which it said now posed the main risk to the world economy.

BERLIN/BRUSSELS, Nov 28 (Reuters) – Germany and France
stepped up a drive on Monday for intrusive powers to reject
national budgets in the euro zone that breach EU rules, as a
market rout of European debt eased temporarily on hopes of
outside help for Italy and Spain.

The OECD rich nations’ economic think-tank said the European
Central Bank should cut interest rates and step up its purchases
of government bonds to restore confidence in the euro zone,
which it said now posed the main risk to the world economy.

BERLIN (Reuters) – German business sentiment rose unexpectedly in November for the first time in nearly half a year, suggesting Europe’s largest economy is weathering the euro zone debt crisis and turmoil in international markets better so far than experts had feared.

A day after weak demand for a German bond auction raised concern the crisis may be spreading to Europe’s economic powerhouse, the closely-watched Ifo business climate index bucked expectations to rise for the first time since June.

BERLIN, Nov 24 (Reuters) – German business sentiment
rose unexpectedly in November for the first time in nearly half
a year, suggesting Europe’s largest economy is weathering the
euro zone debt crisis and turmoil in international markets
better so far than experts had feared.

A day after weak demand for a German bond auction raised
concern the crisis may be spreading to Europe’s economic
powerhouse, the closely-watched Ifo business climate index
bucked expectations to rise for the first time since June.

BERLIN, Nov 23 (Reuters) – A “disastrous” German bond
sale on Wednesday sparked fears that Europe’s debt crisis was
even beginning to threaten Berlin, with the leaders of the euro
zone’s two strongest economies still firmly at odds over a
longer-term structural solution.

Financial markets were also unnerved by newspaper reports
that Belgium may be pressing France for an expansion of a 90
billion euro ($120 billion) bailout of failed bank Dexia
.

BERLIN (Reuters) – Germany and France clashed on Wednesday over whether the ECB should take bolder steps to stem the euro zone debt crisis, with Chancellor Angela Merkel issuing one of her starkest warnings yet against fiddling with the central bank’s strict inflation-fighting mandate.

In a forceful speech to the Bundestag lower house of parliament, Merkel also hit back at proposals from the European Commission on joint euro zone bond issuance, calling them “extraordinarily inappropriate.”

BERLIN, Nov 18 (Reuters) – The leaders of Germany and
Britain sent out conflicting signals on Friday about how to
solve the euro zone’s debt crisis and admitted they had failed
to narrow differences over the introduction of a financial
transaction tax in Europe.

At a news conference in Berlin, British Prime Minister David
Cameron and German Chancellor Angela Merkel tried to paper over
divergent views on European policy that have sparked a war of
words between politicians and media in both countries.

BERLIN, Nov 18 (Reuters) – The leaders of Germany and
Britain sent out conflicting signals on Friday about how to
solve the euro zone’s debt crisis and admitted they had failed
to narrow differences over the introduction of a financial
transaction tax in Europe.

At a news conference in Berlin, British Prime Minister David
Cameron and German Chancellor Angela Merkel tried to paper over
divergent views on European policy that have sparked a war of
words between politicians and media in both countries.

BERLIN (Reuters) – Angela Merkel and David Cameron will try to resolve clashing views on the euro crisis on Friday with London accused of being selfish for opposing a tax on banks and Berlin touching off British sensitivities about transferring power to Europe.

London wanted the prime minister’s visit to be low-profile, but such hopes were dashed after two lawmakers high up in Merkel’s ruling party blasted euro-outsider Britain’s stance in the days before the visit.

BERLIN (Reuters) – Angela Merkel and David Cameron will try to resolve clashing views on the euro zone crisis Friday, after Berlin accused London of being selfish about Europe in comments that touched off British sensitivities about German bossiness.

The British government wanted a low profile for the eurosceptic Cameron’s visit – but such hopes were dashed by two lawmakers high up in Merkel’s ruling party blasting euro zone-outsider Britain’s stance in the days before the visit.