• Mario Draghi, incoming head of the ECB, indicated that the bank would continue to provide liquidity through their bond-buying program as EU officials work on a comprehensive stabilization plan. From Reuters News.
• Italy’s Berlusconi reached a compromise with his coalition partners. The plan for structural reforms lacks details, and may not satisfy EU officials when rolled out at the summit. From the Financial Times
• European banks warn of credit drying up further as officials push a plan to increase capital by about 100 billion Euros. Bank lobbyists say that many will chose to shrink assets rather than raise additional capital. From Bloomberg News.
• Nomura Holdings is joining the list of large international banks planning to slash costs. Insiders suggest that there will be $1 billion target on the cuts, with European operations facing the heaviest toll. From the Wall Street Journal.