Sarkozy Threatened To Pull France Out Of Euro

inspector_monkfish

10:08 14May10 - Sarkozy Threatened To Pull France Out Of Euro

MADRID--French President Nicolas Sarkozy over the weekend threatened to take France out of the euro if Germany refused to help rescue Greece, El Pais reported Friday, citing people close to Spanish Prime Minister Jose Luis Rodriguez Zapatero.

European Union leaders last weekend put together a giant euro-zone financial backstop partly designed to ease investor concerns about the public finances of several member states after a spike in credit markets tensions and several days of tumbling stock markets.

Sarkozy at one point during negotiations "slammed his fist on the table and threatened to pull out of the euro," forcing German Chancellor Angela Merkel to cave in and agree to the deal, Zapatero was quoted as saying to fellow Socialist party leaders

Newspaper website: www.elpais.es

inspector_monkfish

10:26 14May10 Sarkozy Threatened To Pull France Out Of Euro - Guardian

LONDON,May 14

According to Spanish to newspaper El Pais Sarkozy demanded a "compromise from everyone to support Greece" or "France would reconsider its position in the euro". http://www.guardian.co.uk/business/2010/may/14/nicolas-sarkozy-threatened-euro-withdrawal

inspector_monkfish

10:30 14May10 EUR/GBP: Weighed Down by Sarko Threat to Exit Euro Claim


LONDON, May 14

The El Pais-reported claim that French President Nicolas Sarkozy threatened to pull France out of the euro if other EU countries did not help rescue debt-laden Greece (Guardian website) has helped depress EUR/GBP from a three-day high of 0.8620 to an intra-day low of 0.8567. Spanish PM Jose Luis Rodriguez Zapatero allegedly revealed details of Sarkozy"s threat at a "closed
doors" meeting of leaders from his Spanish socialist party on Wednesday.

"Volcker worries about future of the euro" is the headline of a Reuters
article re: comments from the former Fed chairman to students at the London
School of Economics yesterday.