Eurobonds? Over my dead body.

Belligerent words from Angela Merkel in front of her coalition partner (and Eurobond-sceptic) FDP. Her line that there will be no Eurobonds as long as she lives is clearly a line that will play well to the German audience – but a substantial change of style from Germany’s most powerful wearer of pastel-coloured suits.

One of her great assets is – or was – her ability to flexibly (and relatively gracefully) perform policy U-turns when it was clear the winds of public opinion were shifting: she changed her position on nuclear plant decommissioning and system of minimum wages in the past year. It’s the only way a centre-right politician can go from leading governments propped up by the Social Democrats, then Liberals through to – potentially, in 2013 – the Greens. When she was against them, she was diplomatically so; when she was for them, her tone was practically the same.

Now, however, she’s nailed her colours to the mast. It’s certainly a risk – if the markets decide that Eurobonds are the next Only Thing That Will Save the Eurozone™, she won’t have much choice.

Time will tell if this quote comes back to haunt her.