Storm looming in eurozone as Spain economy falters
Spain’s worsening economic crisis and fears that the cash-strapped country might need a bailout that the eurozone can barely afford have caused a violent economic storm in European financial markets.
Fears soared high after the interest rate on Spain’s debt bonds climbed to a record high of 7.39 on Monday causing the euro to take a nosedive versus the US dollar and China’s Yuan, a recent report by Radio France Internationale (RFI) said.
While every euro was dealt for USD 1.20, most financial and economic experts in Europe expect further fall in euro-dollar parity during the coming weeks.
Meanwhile, on Monday Moody’s Investors Service changed the outlook for the ratings of Germany, Luxembourg, and the Netherlands to negative from stable, citing the uncertainty about the eurozone’s ongoing debt crisis. If fears over the eurozone financial crisis continue to rise over the next months, Germany’s AAA-ratings as Europe’s number one economy will be lowered.
The recent development comes as financial markets believe Spain’s economic woes go far beyond the country’s ailing banks that have been grappling with major economic problems.
Global investors say the single currency area’s economic situation will remain critical considering the amount of the Spanish government’s debt, which demands capabilities beyond the current European mechanisms for assisting the eurozone member states, Greece’s worsening economic crisis and its possible exit from the 17-nation bloc, and also Italy’s falling economy. As a result, many analyst wonder whether Spain can be still considered a financially creditable state.
The bitter fact to admit is that Spain is experiencing a seriously critical economic situation with all its macroeconomic indicators having crossed the red line. Moreover, the country’s economic growth has been negative during the past nine months.
Read the full article at: presstv.ir
A new stage in the euro crisis
The eurozone’s religious faultline
Government by the Banks, for the Banks: The ESM Coup D’Etat in Europe
The Gang of Four: Presidents propose power of eurozone authorities over national governments
Latest News from our Front Page
Boris Nemtsov, Putin Foe, Is Shot Dead in Shadow of Kremlin - A Staged Shooting?
NY Times: Boris Nemtsov, Putin Foe, Is Shot Dead in Shadow of Kremlin
Mr. Nemtsov, a former first deputy prime minister of Russia, was killed in central Moscow in the highest-profile assassination in Russia during the tenure of President Vladimir V. Putin.
A Staged Shooting?
Why does the dead body of fitness enthusiast Boris Nemtsov have a pot belly?
The Anti-New York Times doesn't ...
Holocaust, Hate Speech and Were the Germans so Stupid?
Description form YouTube:
This is an updated version of the video which was taken down by YouTube following a spurious copyright-infringement claim. It addresses issues regarding claims that Zyklon B in liquid form gives off fumes at temperatures below 0º C.
As the world approaches the brink of a new Middle East crisis this time involving Syria, clearly at the behind-the-scenes ...
The Jewish Roots of Leonard Nimoy and What the ‘Live Long and Prosper’ Hand Symbol Really Means
Leonard Nimoy first saw what became the famous Vulcan salute, “live long and prosper,” as a child, long before “Star Trek” even existed. The placement of the hands comes from a childhood memory, of an Orthodox Jewish synagogue service in Boston.
The man who would play Spock saw the gesture as part of a blessing, and it never left him. “Something ...
Baby born still INSIDE his amniotic sac is hailed a ‘medical miracle’ by doctors [Video]
What an incredible miracle… Not only was the little boy three months early – he was born inside his amniotic sac. I’ve never heard of this happening before. If you look at the picture, you can see him clearly with his little arms and legs curled up. He was still being given oxygen by his mom until the sac was ...
California Infant Dies after 8 Vaccines, Family Gets Him Back from Hospital Cremated
Parents in California are distraught after losing their infant son after being vaccinated. He died in his sleep and was taken to the hospital already deceased. Hospital staff ruled his death as sudden infant death syndrome. The couple was told an autopsy was required to be performed on their son.
After returning home, waiting to get an update, they never received ...
|More News » |