consensus despite fears of 3). Hollande, Merkel, Rajoy & Monti meeting in Rome today ahead of the key EU Summit next week and the proposal to allow the EFSF/ESM to buy peripheral sovereign debt will remain in focus (will Merkel continue to resist pressure?). The Wyman-Berger audit of Spanish banks out after

to buy sovereign debt flanked by the ECB reactivating the SMP. But Main First out saying that after consulting sources in Berlin they do not expect the EFSF/ESM to join market support measures from the ECB and are not aware of any current talks regarding a banking license for the ESM. French financial trans

osition in Europe as well as peripheral OWs (GFIMS). Next week's EcoFin meeting could disappoint given continued uncertainty around the expansion of the EFSF/ESM. There is also already some resistance from Germany where unexpected regional elections have the potential to weaken the current coalition governme