The market is trying to celebrate the latest EU summit, but there’s not much there worth toasting. GBP is getting a nod of approval from the market as the UK gave the new fiscal compact the cold shoulder. The market initially celebrated the outcome of the latest EU summit today, first because 25 of the EU 27 signed on the dotted line and second as the intensity of the confrontation with Greece was eased as Sarkozy intervened against the German position of more direct control over Greek finances. As our chief economist discusses in his chronicle today, however, this summit once again failed to deliver on the longer ... (full story)