In a statement issued yesterday in the name of Jean-Claude Trichet the president of the ECB, hesignaled the readiness to start buying Italian and Spanish bonds in a risky attempt to contain the sovereign debt crisis.

He said that he will actively implement the bond purchase program, the statement also called on all the government in the euro area to follow through on the steps which were agreed to on July 21.

Germany's Bundesbank opposes the move, as Buying Italian and Spanish debt may require the ECB to expand its balance sheet massively and open it to accusations of bailing out profligate nations, breaching a key principle in the euro's founding treaty.