December 9, 2011- Stocks in Europe were fluctuating Friday as investors were trying to digest the regions latest agreement to tackle the severe, sovereign debt crisis that has strangled the continent. Asia stocks were lower and futures on the U.S. market were unchanged.
Angela Merkel, the Chancellor of Germany said the 17 member nations of the euro zone had reached an agreement to tighten budget controls as well as add $267 billion to the fund to fight the debt crisis. The leaders also tried to get the European Central Bank to increase its rescue efforts.
A new fiscal accord was reached to try to prevent any future debt overloads, accelerate the 500 billion euro rescue fund and to spread out the bondholder provision for loss sharing.
Stock increases were limited as inflation in China declined to its slowest rate in over a year during November, and industrial output in China increased by the slowest rate in over two years.
Other figures released showed that the economy in Japan grew at less of a rate than the government had estimated for the last quarter. Bank of Korea also announced the country’s growth might slow down in 2012.
A report is due to be released Friday morning in the U.S. that may show an increase in the trade deficit. The country’s strengthening economy has helped to increase the number of imports, while exports have cooled off from their record highs.