Europe to introduce Eurobonds?

Market action has been very volatile to say the least, as Bunds finally lose some ground on the back of the chance of a Eurobond. Such action lead to a pop up in the Euro as well as equities as they reversed earlier losses.
Here is an extract from Barroso:

European Commission president Jose Manuel Barroso has said he will put forward moves to tackle the eurozone debt crisis, which he called "the most serious challenge of a generation".

He said he would urge the 17 eurozone nations to issue joint bonds, allowing them to borrow money collectively.

Eurobonds have been backed by Italian Finance Minister Giulio Tremonti and investor George Soros.

However, Germany has repeatedly expressed its opposition to the idea.

His comments came ahead of an emergency conference call between German Chancellor Angela Merkel, French President Nicolas Sarkozy and Greek Prime Minister George Papandreou due later on Wednesday.

The three are expected to discuss how to address recent market turmoil, prompted by fears of an imminent Greek debt default.

'Federalist moment'
"I want to confirm that the Commission will soon present options for the introduction of eurobonds," he said.

"Some of these could be implemented within the terms of the current treaty, and others would require treaty changes."

However, Mr Barroso emphasised that the measure on its own was not enough to solve the eurozone debt crisis.

(Taken from BBC)