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Journalism of Courage
Spanish prime minister Jose Luis Zapatero absolutely ruled out on Friday an Irish-style rescue for Spain even as markets cranked Spains debt risk premium up to record highs. The prospect of a rescue for Spains economy,which is twice the size of that of Ireland,Greece and Portugal combined,is sowing deep concern in world financial markets and in.
Investors are demanding increasingly high rates in return for taking the risk of buying Spanish debt,adding to the problems faced by Madrid in raising fresh cash.
The gap between safe-bet German 10-year bonds and comparable Spanish bonds leapt to a record 2.60 percentage points in morning trade. A few months ago the gap was 1.70 percentage points.
I am not delivering a message of confidence just because I want to but because of concrete facts, Zapatero said in an interview with Catalan radio RAC 1.
