04 April 2012

SPAIN / EUROZONE : PM Rajoy Declares Madrid 'In Extreme Difficulty'; Debt Yields Rising.

http://www.bloomberg.com/news/2012-04-04/rajoy-says-spain-in-extreme-difficulty-as-bond-demand-drops.html


      The pain in Spain...is falling mainly on...demand for its sovereign debt.
      Yesterday Madrid wanted to sell E3.5bn/$4.64bn...in 5 year bonds...but could only peddle E2.6bn worth...disappointing the 'markets.'
      It's 10 year borrowing costs are near January's dangerous 5.7% level.
     Add in growing unemployment...now 23.6%.
     And...PM Mariano Rajoy says Madrid...is in 'extreme difficulty."
     He is also floating the idea of a bailout...again.
     The euro slid...to $1.31.