** EU Leaders Agree on Bank Rescue Fund, Bond Support for Italy and Spain **
Leaders of the European Union have reached an agreement to use its permanent rescue fund to directly boost struggling banks across the continent, and to seek a tighter long-term budgetary and political union.
The decision was reached early Friday morning after hours of discussions at the EU summit in Brussels. The agreement also establishes a joint banking supervisory body for the 17-nation bloc that uses the euro currency, and allows the rescue fund to buy the bonds of distressed sovereign borrowers. The last part was reached to satisfy the demands of Spain and Italy, who wanted help to ease their rising borrowing costs.
European Council President Herman van Rompuy hailed the agreement during a press briefing after the meeting.
**Egypt's New President to Take Oath Before Court **
Egyptian President-Elect Mohamed Morsi will be sworn in Saturday before the nation's Constitutional Court, apparently acceding to the wishes of the ruling military council about details of the transfer of power.
Egypt's official MENA news agency reported late Thursday that Mr. Morsi will take the oath of office in front of the Constitutional Court at 11 a.m. local time Saturday.
Mr. Morsi had vowed to assume the presidency in front of parliament. But the military council said Mr. Morsi would take the oath in front of the Constitutional Court because of the recent dissolution of the lower house of parliament.
Some observers have said the disagreement could be the first phase of a prolonged power struggle between the Brotherhood and the military.
MENA also reported that Mr. Morsi will give a speech to crowds in Cairo's Tahrir Square Friday.