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May 16, 2012

Rajoy says Spain funding gets harder as yields rise

MADRID, May 16 (Reuters) – Spain faces trouble financing
itself as its borrowing costs shoot up, Prime Minister Mariano
Rajoy said on Wednesday, underscoring the widening impact of the
euro zone crisis sparked by Greece’s political stalemate.

“It’s a difficult and complicated situation. The risk
premium has risen a lot and that means that it is difficult to
finance yourself at a reasonable price,” Rajoy told reporters in
the hallways of Parliament on Wednesday morning.

May 10, 2012

Spain takes over Bankia to steady ailing sector

MADRID (Reuters) – Hoping to put an end to a four-year banking crisis, Spain’s government effectively took over Bankia SA (BKIA.MC: Quote, Profile, Research, Stock Buzz), one of the country’s biggest banks, late on Wednesday after days of market anxiety over the lender’s viability.

The centre-right government of Prime Minister Mariano Rajoy told Spaniards the banking sector was safe and said more measures to strengthen ailing lenders would come on Friday.

May 7, 2012

Southern Europe leaders seek ally in France’s Hollande

MADRID/ROME (Reuters) – The election of Francois Hollande in France gives the leaders of struggling southern European countries a new ally in their effort to temper the German-led drive for rigid austerity that has exacerbated their economic woes.

Socialist Hollande’s victory breaks up the centre-right tandem of his predecessor Nicolas Sarkozy and Germany’s Angela Merkel, whose European fiscal pact demanded deep spending cuts in Italy, Spain, Portugal and Greece.

Apr 30, 2012

Spain’s Central Bank consults experts on toxic assets: sources

MADRID (Reuters) – Spain’s Central Bank is consulting with international bankers and property experts on setting up a holding company to value and sell off toxic real estate assets from the country’s troubled financial sector, two sources said on Monday.

The consultation process will last a few weeks, one of the sources, from the central bank, said. “When we have those opinions we will use them for input on the formula for the entity,” the source told Reuters.

Apr 23, 2012

CORRECTED: Spain has few ways to pressure Argentina over YPF

MADRID (Reuters) – Spain has threatened to retaliate against Argentina for nationalizing a Spanish energy firm, but Madrid will find it hard to put real pressure on a maverick nation that has been shut out of world debt markets and has ignored international fines in previous disputes.

Argentine President Cristina Fernandez said this week she would fulfill a life-long dream and solve her country’s energy shortage by seizing control of its biggest oil company, YPF, a subsidiary of Spain’s Repsol (REP.MC: Quote, Profile, Research, Stock Buzz).

Apr 18, 2012

Spain has few ways to pressure Argentina over YPF

MADRID (Reuters) – Spain has threatened to retaliate against Argentina for nationalizing a Spanish energy firm, but Madrid will find it hard to put pressure on a maverick nation that has been shut out of world debt markets and has ignored international fines in previous disputes.

Argentine President Cristina Fernandez said this week she would fulfill a life-long dream and solve her country’s energy shortage by seizing control of its biggest oil company, YPF, a subsidiary of Spain’s Repsol.

Apr 13, 2012

Spain in emergency ward; grave but not critical

MADRID/BRUSSELS (Reuters) – Spain is in a deep economic and financial hole. Unemployment exceeds 23 percent and Madrid has missed targets to reduce its gaping budget deficit.

With yields on Spanish government bonds back around 6 percent, many pundits reckon a humiliating international bailout beckons to rescue a banking system weakened, like the economy, by a burst housing bubble.

Apr 12, 2012

Analysis – Spain in emergency ward; grave but not critical

MADRID/BRUSSELS (Reuters) – Spain is in a deep economic and financial hole. Unemployment exceeds 23 percent and Madrid has missed targets to reduce its gaping budget deficit.

With yields on Spanish government bonds back around 6 percent, many pundits reckon a humiliating international bailout beckons to rescue a banking system weakened, like the economy, by a burst housing bubble.

Apr 2, 2012

Resistance to austerity stirs in southern Europe

ROME/MADRID (Reuters) – Most of the people of southern Europe have stayed surprisingly stoical up to now in the face of some of the most painful budget cuts in living memory, but signs are stirring that patience may soon run out.

An unexpectedly broad general strike in Spain on Thursday and mounting opposition to Prime Minister Mario Monti in Italy are among indicators that resistance is growing in a region at the centre of concerns about a resurgence of the euro zone debt crisis.

Apr 1, 2012

Analysis: Resistance to austerity stirs in southern Europe

ROME/MADRID (Reuters) – Most of the people of southern Europe have stayed surprisingly stoical up to now in the face of some of the most painful budget cuts in living memory, but signs are stirring that patience may soon run out.

An unexpectedly broad general strike in Spain on Thursday and mounting opposition to Prime Minister Mario Monti in Italy are among indicators that resistance is growing in a region at the centre of concerns about a resurgence of the euro zone debt crisis.

    • About Fiona

      "Fiona Ortiz is Reuters' chief correspondent for Spain. She has also lived and worked as a journalist in Argentina, Chile, Mexico, Costa Rica, Guatemala and Portland, Oregon."
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