MADRID | By Julia Pastor | Soledad Pellón, analyst at IG Markets: “Spain is now in better conditions to start the recovery”
Spain dispels the threat of a bailout
By CaixaBank Research | Tensions have eased in the sovereign debt markets of the periphery. The government is preparing to reform Spain’s public sector in 2013.
Most Spanish financial analysts forecast a Spailout before 2014
MADRID | By Tania Suárez | Analysts in Madrid think Spain’s risk premium is too high for the government to escape the fate of Ireland or Portugal. “Some sort of bailout” will be necessary before the end of next year.
Give Spain fair targets, or damn the euro
“To avoid the euro zone spinning out of control, conditions imposed on Spain should be tailored to be fairly met. That inevitably involves further flexibility in its deficit goals,” says economist JP Marín Arrese.
Spain needs growth to do its homework
MADRID | The weakness of Oliver Wyman’s Spanish banking test is similar to that of the national budget, economist JP Marín Arrese opines. Without growth, Spain could be rescued only to see risk premiums and credit costs decreasing. The threat of a depression would still loom.
Being rescued doesn’t amount to be saved
Community jargon shows how mere wishful thinking is turned into what seems a rock-solid reality-to-be. The EU is full of expectations that never materialize. Yet, this shortcoming does not deter officials from bombastically naming policies or mechanisms as if there was no chance they might derail. Just take the rescue label so often applied to [...]
After EBC’s meeting, Portuguese bailout (JP Morgan)
By Tania Suárez, Madrid | Global growth will remain below trend until later this year, according to JP Morgan expectations. Rates have dropped less than 50bp from their peaks in 2011 and are projected to fall further 20bp until late 2012. Developed markets authorities believe that “the limit of zero interest rates has eliminated the [...]
“The European Central Bank could cope with another Greek debt haircut”
By Tania Suárez, in Madrid | Alberto Matellán is director of strategy and macroeconomics at Inverseguros SVB. In a conversation with The Corner, he said that even if Spain doesn’t formally request a bailout, “it will be necessary some kind of intervention.” However, he points out that the possible Spailout would be met via different [...]
“In Spain, an effective bailout must be focused on spending”
By Tania Suárez, in Madrid | Víctor Rodríguez is an economist at CMC Markets Spain. In an interview for The Corner, he said that Mario Draghi’s role is not so decisive in the debt crisis, although we could see important measures being applied by the European Central Bank. Regarding a possible bailout for Spain, Rodríguez [...]
Why the Irish model wouldn’t work for Spain
By Luis Arroyo, in Madrid | Ireland has began to get out of the pit of its crisis and the usual suspects have wasted no time in coming back to tell Spain that it can be done, austerity only is the key. Ireland has gone through a fair amount of pain just to get its [...]
