Forex News- Germany cannot promise crisis solution before EU summit this weekend

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After the conclusion of the G20 summit in Paris over the weekend, there were high expectations for a plan to be ready before the Brussels EU summit this upcoming weekend, as G20 leaders set a deadline for a plan by this weekend.

But Schaeuble’s comments that the summit would not draw a line under the crisis once and for all.

A spokesman for the German government said that the German chancellor has pointed out that the dreams building up that this package by Monday cannot be fulfilled and there are important steps on a long path that will reach far into next year and on which more steps will have to follow.

All talks ahead of the meeting will be kept confidential and will be made public after the summit.

On the summit agenda is how any recapitalization of European banks “might be carried out in a coordinated way” and how to make the European Financial Stability Facility, the EU’s rescue fund for indebted states, as effective as possible. Greek aid will also be discussed.

The euro retreated from a one-month high against the dollar after Schaeuble’s pessimistic comments. The single currency had its biggest gain in more than two years last week on speculation that policy makers were moving closer to stemming the crisis.