Euro zone finance ministers left their Monday meeting with some ideas sketched out on how to help Greece through its financial crisis, but no plan on when to implement them. Meanwhile, fears over Italy and even Spain roiled the markets.
Reuters reported that among the strategies promised were longer debt maturities and a more flexible rescue fund to aid weaker euro zone members. Ministers also chose not to rule out the possibility of selective default for Greece, but since they could not agree on exactly what should come next, they closed their eight hours of talks without taking action.
Both Spanish and Italian bond yields suffered Tuesday, with the Italian 10-year bond topping 5.7%. Despite this and other turbulence in the markets, Wolfgang Schaueble, Germany’s finance minister, said there was no need to rush. He was quoted in the report saying, “We have time on Greece. The next tranche is due in September. By then a new program has to be decided.”