A round-up of today's other stories in brief

ECB bond purchases down to lowest level for seven weeks

The European Central Bank scaled back significantly its government bond purchases last week, leaving the euro zone debt crisis in a holding pattern ahead of the Christmas holiday. Just €603 million in purchases had been settled by Friday – the lowest figure in seven weeks, according to the ECB. That followed a €2.67 billion surge the previous week.

As a result of the slowdown, traders said, the ECB lost momentum in its efforts to restore investor confidence in Europe’s 12-year-old monetary union. However, the low figure also reflected thin market volumes and the ECB’s view that the programme is about correcting malfunctioning markets – not about boosting the economy. – Copyright The Financial Times Limited 2010

World's top banks to overhaul pay   

The world's biggest investment banks are to overhaul their pay structures to differentiate between bankers based in Europe and those who work elsewhere.

Many US and Swiss banks are considering paying higher salaries and lower bonuses to top bankers based in the EU to ensure they comply with new instructions from the Committee of European Banking Supervisors. – Copyright The Financial Times Limited 2010

Ernst & Young to face fraud charges

Prosecutors in New York are set to file civil fraud charges against accounting firm Ernst Young over the collapse of Lehman Brothers, the Wall Street Journal said yesterday.

The suit, led by Andrew Cuomo, could come as early as this week and might seek to impose fines and other penalties, the paper said.

The lawsuit stems from Lehman's use of an accounting technique called Repo 105. – (Reuters)