Spain: 'We're back in full crisis mode'

I hate to rain on President Obama's re-election party, but there is still the little matter of euro debt that could derail his pitiful recovery and send us reeling back into a recession. On the chopping block is Spain. As Reuters reports, the perception is growing that the right of center Spanish government will be unable to make the cuts necessary to get it's fiscal house back to sane levels. This doubt has caused Spanish bonds that finance its debt to soar above the danger level of 6% and start speculation that they are going to need a bailout before long. Signs of slowing global growth also undermined sentiment in commodity markets while European equity markets were mostly in positive territory after sharp falls last week. Spanish stocks were lower, however, reflecting concerns about the country's ability to finance its deficit and debt with borrowing costs on the rise. "We're back in full crisis mode," Rabobank strategist Lyn Graham-Taylor said. "It is looking more and more...(Read Full Post)