Stocks and euro sink as ECB chief resigns

Europe’s handling of its debt crisis returned to haunt markets today, with stocks down sharply and the euro sinking to its lowest level against the dollar in more than six months after a top European Central Bank official unexpectedly resigned.

Juergen Stark, a key member of the ECB’s rate-setting governing council, quit for personal reasons, the ECB said. Investors, however, noted that Stark has been a consistent critic of the ECB’s programme to purchase government bonds of debt-ridden European nations in the markets.