“The eurozone is at great risk,” the chairman of the Joint Chiefs of Staff told reporters, giving the strongest indication yet about the depth of Washington’s concerns over Europe’s financial tumult.

“We are extraordinarily concerned by the health and viability of the euro because in some ways we’re exposed literally to contracts but also because of the potential of civil unrest and breakup of the union that has been forged over there,” Dempsey said.

The unusually frank comments came hours after EU leaders banded together to back tighter budget enforcement, with 26 of the 27 members signalling their willingness to join a “new fiscal compact” to resolve the crisis.

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