European court upholds a key anti-crisis program
The European Court of Justice has delivered a ruling strengthening the European Central Bank’s hand in intervening in financial markets — backing that could come in handy amid fears Greece will default on its debts and possibly leave the 19-country euro currency union.
In a decision Tuesday in Luxembourg, the court upheld the ECB’s 2012 offer to buy the bonds of countries whose governments face excessive market borrowing costs. The offer has helped reassure markets — even though no country has used it. High borrowing costs can push a country to need a bailout package of rescue loans, as happened with Greece, Portugal and Ireland.