Hope for new approach in euro crisis buoys markets

Hopes that European leaders will consider new ways to fight the debt crisis, including a contained Greek default, reassured investors on Monday, though analysts said more specifics will have to emerge before a rally gains traction.

Over the weekend, European officials said Germany and other rich EU countries are pushing for a new strategy to the debt crisis, which is threatening to take down the eurozone's larger economies.

Crude Oil Rises From Seven-Week Low on Hopes for European Rescue Measures

Oil rose from its lowest in almost seven weeks in New York on speculation that renewed measures by the European Central Bank may alleviate the region’s sovereign debt crisis, supporting economic growth and fuel demand.

Futures reversed losses of as much as 3.4 percent after a euro-region central bank official, who declined to be identified, said policy makers are likely to debate the resumption of covered-bond purchases next week. Saudi Arabia, the world’s largest crude exporter, may cut production to prevent prices falling below $90 a barrel in London, according to HSBC Holdings Plc.

Euro nears 8-mth low on doubts over EU crisis steps

The euro dropped sharply on Monday, moving toward an eight-month low hit last week, as riskier assets were hammered across the board with markets waiting for more details on fresh efforts from European officials to tackle the debt crisis there.

The euro started cautiously higher, bobbing up to $1.3585 amid reports that the E.U. leaders were considering beefing up the European Financial Stability Fund and new measures to ring-fence debt-ridden Greece, Portugal and Ireland.

Euro crisis: three perspectives

WASHINGTON D.C. (CNNMoney) -- George Soros, the billionaire hedge fund manager and philanthropist, warned Saturday that failing to resolve the sovereign debt crisis in Europe could lead to a "real meltdown" of the global financial system.

His remarks came while on a panel with Olli Rehn, the top economic and monetary official at the European Commission, and Gao Xiqing, the head of China's sovereign wealth fund, who also commented on the debt crisis in Europe.

Euro, Asian Stocks Fall on Debt Concern

The euro weakened against most of its major peers, Asian stocks dropped to a 15-month low, while U.S. futures and oil pared gains amid concern European policy makers will struggle to contain the region’s crisis.

Europe’s shared currency dropped 0.7 percent to 102.64 yen at 11:28 a.m. in Tokyo and slid 0.5 percent to $1.3433. The New Zealand dollar weakened for a sixth day and the won slumped 1.6 percent. The MSCI Asia Pacific Index lost 0.8 percent and the Nikkei 225 Stock Average sank 1.6 percent after Japan’s markets resumed after a holiday. Standard & Poor’s 500 Index futures rose 0.6 percent, paring gains of as much as 1.3 percent. Oil was little changed in New York and gold dropped a fourth day.