-
Bundesbank head warns Greek haircut could be dangerous
Bundesbank President Jens Weidmann said a haircut for Greece would not resolve the country's debt problems and could in fact be "dangerous" if it led to a relaxation in debt-cutting efforts. "A haircut is not an cure-all," Weidmann told Sunday's Bild am Sonntag newspaper. "If it were to lead to a reduction in the readiness to implement structural reforms, it could even be dangerous." European Union leaders hold talks on Sunday to hammer out a comprehensive plan for tackling the euro zone debt crisis. Weidmann warned against letting highly indebted countries off the hook. "The basis for confidence in government bonds ... (full story)