Spain’s risk premium shot to a new record high on Friday after officials in Valencia formally asked the central government for funds to help pay the region’s mounting bills, including the high prices of prescription drugs.
The cost of servicing Spanish debt rose to 7.26 percent after mid-afternoon with the risk premium hitting the 612 basis points mark and closing at 610 basis points over the benchmark German bund.Fantasy.
Spaniards took to the streets by their thousands in response to the latest government spending cuts. Protests shook the Spanish capital yesterday, set off by the government’s plan to cut 65 billion euros over the next two and a half years. Thousands of people across 80 cities made their voices heard after the measure was passed in Congress with only the votes of the ruling Popular Party (PP).
Blowing whistles and banging on drums are behaviors you would expect from illiterate peasants trying to drive away evil spirits.