The extent to which the latest Spanish bank bailout is coming without strings — a key claim made by the Spanish government — is in question.
ZeroHedge points to this article in El Pais, which includes this line.
In return for subsidized rates, Spain cede sovereignty over its financial system, but also lose tax sovereignty, contrary to what the Government said yesterday.
Meanwhile. Analyst skepticism is growing.
CNBC’s Kelly Evans writes:
What all the fancy-sounding acronyms in [...]
Premier Mariano Rajoy said the country is “in an extremely difficult situation” and called on Europe to stand by the mutual obligations of euro membership. “Europe must say where it is going and show that the euro is an irreversible project that is not in danger, that helps nations in difficulty,” he told Spain’s senate.
Treasury minister Cristobal Montoro confessed that Spain can no longer raise money. “The market is no [...]
And so it all begins anew:
“From Bloomberg: IMF, EU, ECB Open to Changes in Greek Aid Deal, Real News Says
The so-called troika of the European Union, the International Monetary Fund and the European Central Bank is willing to make six important changes to Greece’s financial aid agreement if a pro-European government is formed in the country, Real News said.
The Troika is willing to extend by one year to end 2015 the time [...]
With all eyes firmly planted on Spain, the little-Escudo-that-could has quietly slipped off the heading-into-the-abyss list of the mainstream media. Little was made this week of the fact that 10Y Portuguese bond yields dropped to seven-month lows – except by us of course where we explained that this is almost entirely due to the CDS-Bond basis trade ‘arb-du-jour’ that has placed a technical bid under Portuguese bonds. Between the help from LTRO and the [...]