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What Europe's leaders need to maintain eurozone's stability

Build a resilient financial system. Ringfence contagions. Loans from abroad don't fix domestic problems.

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Growth has picked up in the eurozone, and unemployment, though still high, is declining rapidly. The question is whether these improvements are stable enough to ensure the zone's continued resilience.

MARKET volatility has surged lately, apparently vindicating those who have warned of lofty equity valuations.

But, even as the US stock market suffered one of its worst weeks since the financial crisis, the eurozone's public-debt market has remained relatively stable, with risk spreads -...

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