European Shares Close Flat on Merkel Comments.

*European shares closed flat on Thursday oaring gains earlier in the day after German Chancellor Angela Merkel reiterated her opposition to jointly issued euro bonds and calls to change the role of the European Central Bank in the fight against the euro zone debt crisis.*** 

*The FTSEurofirst 300 index 902.39 0.16 (+0.02%) <http://adf.ly/3uGQr> closed down 0.1% at 901 points after earlier being as high as 913.13, but volume was low at 41.8% of its 90-day daily average. *

*German Chancellor Angela Merkel said alongside her French and Italian peers on Thursday that making progress to more fiscal union in the euro zone would not mean she would suddenly agree to euro bonds or changing the role of the European Central Bank.*

*"When we take a first step towards fiscal union, for example by reinforcing the Stability and Growth Pact via automatic sanctions, it will be a step forwards but it won't be grounds for me to change the opinon I expressed yesterday," Merkel said.*

*Elsewhere the European Central Bank is looking at extending the term of loans it offers banks to 2 or even 3 years to try to prevent the euro zone crisis precipitating a credit crunch that chokes the bloc's economy, people familiar with the matter said.*

*Volumes remained low during the day, with Wall Street closed for the Thanksgiving holiday.*

*German business sentiment rose in November for the first time in nearly half a year, suggesting Europe's largest economy was weathering the euro zone debt crisis and turmoil in international markets better than some had feared.*

*It gave the market a boost, but people are looking for any form of sunshine on the horizon. I think this is more hope than anything. One swallow doesn't make a summer.. **

Investors were still preoccupied by the euro zone debt crisis. Every day we probably move closer to a monetary solution (printing money).-