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Spain runs out of money
“El Mundo reports that the country can no longer resist the bond markets as 10-year yields flirt with 6.5pc again, and the spread over Bunds – or `prima de riesgo’ — hits a fresh record each day.”
http://blogs.telegraph.co.uk/finance/ambroseevans-pritchard/100017477/spain-runs-out-of-money/
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This thing is coming to a head. Spain has run out of money.
http://www.telegraph.co.uk/finance/debt-crisis-live/9293828/Debt-crisis-live.html -
This thing is coming to a head. Spain has run out of money.
http://www.telegraph.co.uk/finance/debt-crisis-live/9293828/Debt-crisis-live.html -
Yet this report from the German Der Spiegel seems to think there’s a different way out. Wonder what the real situation is?
Merkel is determined to reject both Hollande’s call for euro bonds and his proposal to allow direct lending by the ECB. The monetary watchdogs, she argues, would already do everything necessary to stabilize the euro, and thus preserve their high-paying jobs in Frankfurt’s Euro Tower.
There is something to this. The ECB has signaled internally that, if it becomes necessary (if Greece withdraws from the euro, for example), it will buy up the bonds of other ailing countries once again. With a view toward Hollande’s calls for more growth incentives, the Germans, for their part, are trying to seem more conciliatory.
It’s interesting though that Rajoy’s lot are going to privatize a lot of state-run stuff (Renfe, the Lotteries, state ports etc.) They had put this off when they won the last election, but it’s obviously become a necesity:
(in Spanish)
http://www.cincodias.com/articulo/economia/gobierno-preve-ingresar-30000-millones-privatizaciones/20120528cdscdieco_2/ -
Yet this report from the German Der Spiegel seems to think there’s a different way out. Wonder what the real situation is?
Merkel is determined to reject both Hollande’s call for euro bonds and his proposal to allow direct lending by the ECB. The monetary watchdogs, she argues, would already do everything necessary to stabilize the euro, and thus preserve their high-paying jobs in Frankfurt’s Euro Tower.
There is something to this. The ECB has signaled internally that, if it becomes necessary (if Greece withdraws from the euro, for example), it will buy up the bonds of other ailing countries once again. With a view toward Hollande’s calls for more growth incentives, the Germans, for their part, are trying to seem more conciliatory.
It’s interesting though that Rajoy’s lot are going to privatize a lot of state-run stuff (Renfe, the Lotteries, state ports etc.) They had put this off when they won the last election, but it’s obviously become a necesity:
(in Spanish)
http://www.cincodias.com/articulo/economia/gobierno-preve-ingresar-30000-millones-privatizaciones/20120528cdscdieco_2/ -
Sr Rajoy has spoken! I suppose we’ll find out soon enough if he’s making sense or not. It’s funny though, there were certain people who blamed everything on Zapatero…
http://www.typicallyspanish.com/news/publish/article_34807.shtml
Spanish Prime Minister, Mariano Rajoy, has said today, ‘No Spanish bank will need to be rescued by the EU’. He claims that events in Bankia over the weekend had not contributed to the increased Rate Premium seen today, which rose to 511 at one time, and his objective in nationalising the bank was ‘to guarantee people’s savings’ and ‘to recover the confidence of the investors’. He justified the injection of public money saying that the alternative was ‘to do nothing, let it go bankrupt’.
Rajoy called for ‘more fiscal, monetary and political integration in the EU, said the Euro is ‘irreversible’ and called for any doubts to be dissipated.
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Sr Rajoy has spoken! I suppose we’ll find out soon enough if he’s making sense or not. It’s funny though, there were certain people who blamed everything on Zapatero…
http://www.typicallyspanish.com/news/publish/article_34807.shtml
Spanish Prime Minister, Mariano Rajoy, has said today, ‘No Spanish bank will need to be rescued by the EU’. He claims that events in Bankia over the weekend had not contributed to the increased Rate Premium seen today, which rose to 511 at one time, and his objective in nationalising the bank was ‘to guarantee people’s savings’ and ‘to recover the confidence of the investors’. He justified the injection of public money saying that the alternative was ‘to do nothing, let it go bankrupt’.
Rajoy called for ‘more fiscal, monetary and political integration in the EU, said the Euro is ‘irreversible’ and called for any doubts to be dissipated.
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No Spanish bank will need to be rescued by the EU = Many Spanish banks will need to be rescued by the EU.
As you get older you learn to understand what politicians are really saying 😉
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No Spanish bank will need to be rescued by the EU = Many Spanish banks will need to be rescued by the EU.
As you get older you learn to understand what politicians are really saying 😉
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You are so right there Mark.
Politicians always ‘promise the earth and deliver sods’ it seems. I will be interested to see if Hollande reneges on his electioneering promises which won his term in office. As for Spanish politicians, so far they all seem to come out of the same impotent and corrupt mould, a bit like the UK’s now and Greece’s etc etc etc 😆
Where are the more trusty elder Statesmen?? 🙄
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You are so right there Mark.
Politicians always ‘promise the earth and deliver sods’ it seems. I will be interested to see if Hollande reneges on his electioneering promises which won his term in office. As for Spanish politicians, so far they all seem to come out of the same impotent and corrupt mould, a bit like the UK’s now and Greece’s etc etc etc 😆
Where are the more trusty elder Statesmen?? 🙄
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“One bust will bring Spain to it’s knees” – Rajoy speaking yesterday. What odds will you offer for tomorrows statement of ‘Spain is bust….and on it’s knees?
http://www.guardian.co.uk/business/2012/may/28/one-bust-bank-spain-pm-mariano-rajoy
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“One bust will bring Spain to it’s knees” – Rajoy speaking yesterday. What odds will you offer for tomorrows statement of ‘Spain is bust….and on it’s knees?
http://www.guardian.co.uk/business/2012/may/28/one-bust-bank-spain-pm-mariano-rajoy
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