Euro debt crisis

European leaders are under intense pressure to reach a long-term solution to debt problems for the EU to its breaking point.

But given the enormous challenges involved and options available to them unpleasant, some political analysts expect the EU to announce any significant changes soon.

"There is no solution to the crisis of sovereign debt in the euro area in order," said Carl Weinberg, chief economist at High Frequency Economics. "Markets will remain volatile and inherently unstable, as long as we can think."

French President Nicolas Sarkozy and German Chancellor Angela Merkel has given their best shot on Tuesday.

The leaders of the largest economies of Europe has announced proposals they said would encourage fiscal discipline and increase economic competitiveness in the euro area.