European Leaders and Banks Reach Debt Deal to Save Euro

The latest plan to save Europe from its debt crisis was greeted with a burst of self-congratulation from the bleary-eyed leaders who negotiated it and a respite from the months of pounding by the continent's financial markets.

It was approaching 2 a.m. Thursday, not long before the Asian markets would open, and the two leaders were desperately trying to nail down the last component of a complex deal to save the euro: forcing the banks to pay a greater share of Greece’s effective default.