The prevailing mood at the World Economic Forum in Davos this week has been one of measured optimism, but there are still questions over whether EU leaders will agree the terms of a new fiscal pact and bail-out fund when they meet in Brussels on Monday.

Stephanie Flanders has been in Davos where there is a prevailing mood of measured optimism over the eurozone crisis as well as what Davos commentator George Soros called "crisis fatigue". The situation is so serious that people can't quite face it, he explains.

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