Portugal move eases Europe debt crisis

The intensifying European debt crisis appeared to take a step back from the brink on the 12 January 2011 when besieged Portugal was able to sell more than €1.2bn in long-term debt at much lower than expected interest rates.

European officials warned that it was far too early to consider Portugal safe from becoming the third eurozone country pushed into a bail-out because of its inability to fund government operations through borrowing on the open market.

ESO: Background information: Lisbon resists pressure for bail-out http://www.europeansources.info/record/lisbon-resists-pressure-for-bail-out/

BBC News, 12.1.11: Portugal bond auction raises 1.25bn euros http://www.bbc.co.uk/news/business-12169302

EUObserver, 13.1.11: Crucial Portuguese bond auction successful http://euobserver.com/9/31635

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