Tuesday, February 16, 2010

Next up at bat - Spain!

Here we go!
Feb. 16 (Bloomberg) -- Spain is planning a benchmark sale of 15-year bonds in euros, its first syndicated issue since concern about the ability of southern European countries to contain budget deficits roiled markets.

The country is selling bonds as European finance ministers meet in Brussels to discuss support for Greece, whose struggle to contain the region’s largest budget shortfall is hurting its neighbors. The cost to insure against a default on Spain’s bonds rose, according to credit-default swap prices.

“The bond sale is a real test for Spain and other countries facing pressure because of their big deficits,” said Ivan Comerma, head of capital markets at Banc International- Banca Mora in Andorra, who was invited to buy the notes.
The article goes on to say that Spain is nowhere near as bad off as Greece, but the year is still young. The wonderfully compassionate and progressive Spaniards have managed to spend themselves into the poor house.


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