ECB government bond purchases drop to $793 million from $3.51 billion. The European Central Bank has sharply reduced its purchases of bonds from vulnerable governments such as Greece, Ireland, or Portugal, despite pressure to do more to help fight the continent's crippling debt crisis.

FRANKFURT/DUBLIN (Reuters) - The European Central Bank has expressed "serious concerns" that a new law in Ireland could force the central bank to take losses on the collateral it accepts in exchange for loans to commercial banks.

Moody's Investors Service said on Monday it had lowered its ratings on five Irish banks following its downgrade of Ireland's sovereign debt last week.

PARIS (Reuters) - European Central Bank head Jean-Claude Trichet said on Monday euro zone countries must do more individually and collectively to combat the bloc's debt crisis, and Ireland must stick "rigorously" to its bailout plan.

Tens of thousands of Spanish workers staged strikes in 40 cities Saturday to protest state plans to up the retirement age to slash public deficit, the highest in the eurozone after Greece and Ireland.

DUBLIN (Reuters) - Ireland's main opposition party, the center-right Fine Gael, called on Prime Minister Brian Cowen to dissolve parliament no later than the end of January for an election to take place.

Treasurys rise slightly after recent rout; Moody's slashes Ireland's rating to near junk. The recent drop in Treasurys took a pause on Friday as Europe's ongoing debt troubles had investors returning to the safety of U.S. government bonds.

Copper, silver gain as strong leading indicators report sparks hope for better demand. Copper and silver prices rose Friday as a strong economic forecast sparked hope that demand for industrial metals would grow next year.

Dollar rises after Moody's downgrade of Ireland, Congress passes bill extending tax cuts. The dollar rose Friday in New York after Moody's credit ratings agency downgraded Ireland's debt, refocusing investors' attention on Europe's financial woes. Passage of the tax-cut package in Congress also raised expectations for U.S. economic growth.

European Union leaders on Friday vowed to defend debt-plagued euro nations with a permanent bailout mechanism, but their pledges made little impression on markets as Ireland was hit with a punishing debt downgrade.

Moody's on Friday slashed its credit rating on debt-stricken Ireland following the country's huge international bailout and as the European Union battled to safeguard the euro.

EU leaders bid farewell to euro's horrible year, agree to align their economies amid debt woes. European Union leaders capped the euro's year of pain with renewed resolve to protect their battered common currency. But even after their seventh summit in a chaotic year, markets failed to take heed, leaving the leaders baffled. Again.

London shares ended lower on Friday as Moody's slashed its credit rating on Ireland and new figures on Spanish debt were released.

EU leaders bid farewell to euro's horrible year, agree to align their economies amid debt woes. European Union leaders capped the euro's year of pain with renewed resolve to protect their battered common currency. But even after their seventh summit in a chaotic year, markets failed to take heed, leaving the leaders baffled. Again.

Moody's slashes debt rating of Ireland, skeptical of government's power to tame record deficit. Moody's slashed Ireland's credit rating five notches on Friday and warned of further downgrades if the country cannot regain command of its debts and tame its deficit.

DUBLIN (Reuters) - Moody's Investors Service slashed Ireland's credit rating by five notches to Baa1 with a negative outlook from Aa2 on Friday and warned further downgrades could follow if Ireland was unable to stabilize its debt situation.

European leaders signalled a willingness to grant troubled nations a fresh financial lifeline, ring-fencing the euro in a bid to fend off market vultures once and for all.

DUBLIN (Reuters) - The International Monetary Fund approved a 22.5 billion euro loan for Ireland on Thursday and said it was open to renegotiating parts of the bailout package with a new government provided its overall targets were adhered to.

The International Monetary Fund gave Ireland a green light Thursday to borrow 22.5 billion euros (30.1 billion dollars) to battle an economic and banking crisis.

DUBLIN (Reuters) - Ireland's parliament approved a multi-billion euro EU/IMF bailout package on Wednesday in the face of opposition threats to renegotiate the deal to force losses on some senior bondholders in Irish banks.