News Summary: Europe gropes for debt crisis fix

Associated Press
Italy’s Prime Minister Mario Monti speaks at a press conference during the G20 summit in Los Cabos, Mexico, Tuesday, June 19, 2012. (AP Photo/Eduardo Verdugo)
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Italy’s Prime Minister Mario Monti speaks at a press conference during the G20 summit in Los Cabos, Mexico, …

SEARCH FOR SOLUTIONS: Europe's leaders are grasping for ideas to halt their government debt crisis ahead of a series of top-level meetings over the next 10 days.

THE BACKGROUND: Greece, Ireland and Portugal have sought multibillion-euro bailouts over the past two and one-half years as high borrowing costs made it impossible for them to finance their debts on the international bond markets.

WHAT'S NEW: Market-watchers fear Spain and Italy may soon be joining the bailout club as their borrowing costs spiral ever higher. The latest idea is to use emergency bailout funds to buy up government bonds on the open market to restore stability.

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