Following discussions lasting well into the night, euro area heads of state and government agreed to the creation of a single supervisory mechanism for banks in the eurozone.
"We affirm that it is imperative to break the vicious circle between banks and sovereigns. The commission will present proposals… for a single supervisory mechanism shortly. We ask the council to consider these proposals as a matter of urgency by the end of 2012," said a statement released from the euro group. The mechanism