Eurozone debt-crisis talks stall as Sarkozy and Merkel clash

With just three days to go until a crucial summit is held in Brussels on the eurozone debt crisis, talks on how to tackle the problem have stalled.

The French president Nicolas Sarkozy and the German chancellor Angela Merkel are at odds over the second Greek rescue package and a fresh overhaul of Europe's bailout fund.

It is understood the two leaders disagree over whether the European Central Bank should financially support the EU's new bailout fund.

Chris Curran from Delta Index said of the markets' reaction overnight: "There was a late fall-off last night in the States. That has continued overnight into Asia…and it's all driven by the news around the European negotiations on the debt crisis," he said.