European leaders hatch aid plan for banks in crisis

By Tamora Vidaillet and Huw Jones PARIS (Reuters) - European governments are ready to help banks weather the financial crisis by guaranteeing some of their lending and other measures, according to a document being discussed by leaders trying to stem panic on markets. Prime ministers and presidents from the 15 countries sharing the euro currency plus Britain met in Paris on Sunday to find a response to the chaos that has frozen credit markets, the lifeblood of the financial system, and sent markets crashing. "I believe that we will see over a few days worldwide action that will make people see that confidence in the banking system can be restored," British Prime Minister Gordon Brown told reporters after leaving the euro zone leaders meeting. The leaders were racing against the clock to clinch a rescue strategy for banks... [read full story]