[Vomephems]

http://www.cnbc.com/id/45049889

Euro zone leaders intend to scale up their emergency fund, the European Financial Stability Facility, to around 1.0 trillion euros, EU sources said on Wednesday.

The sources said the 440 billion euros ($611.4 billion) fund, set up last year, would have about 250-275 billion euros available after amounts are set aside for aid to Greece, Ireland and Portugal and for the recapitalizing the region's banks.

That amount would be scaled up around four times, arriving at a headline figure of around 1.0 trillion.

"The ratio of the leverage will be of at least 4 times," one source said, while another said the spare capacity available to be leveraged was 250 billion to 275 billion.

The exact amount of capital available will only be known once negotiations over a second bailout package for Greece are agreed. Part of the problem is agreeing on credit enhancements for the private sector. More credit enhancement will reduce the amount of funds in the EFSF for leveraging.

Meanwhile, Reuters also reported Wednesday night that French President Nicolas Sarkozy will speak with Chinese President Hu Jintao on Thursday about boosting the EFSF. The report cited a European Union source.

[BigMovies]

my guess is China will come to the rescue, but for a price....

another piece of the empire we give over to them, some technology? or?

remember those reports about U.S. troops guarding copper and gold mines in afghanistan, that china was working...

or how about "chinese cities" popping up in Idaho...

the bailout will come, but at some price....

[viagsjicguara]

The best solution is to let it fail. The whole idea of the Euro and the EU was a failure from the start.