Spain

By Marc Chandler The most important thing that ECB President Draghi has said in his prepared remarks was the reluctance to reschedule Greek bond holdings on grounds that would be tantamount to monetary financing.    Really?  Buying the…

Now, we come to the Spanish budget. The austerity here is a lot more real than it is in the French budget. As I have been saying for a number of weeks, the goal of the Spanish government is to present an austerity budget that gets approval…

By Marc Chandler The US dollar is going into month and quarter end on a soft note.  The greenback had been generally firm against most of the major foreign currencies, but the Japanese yen, since around mid-month, but the news stream…

Two weeks ago I told you that Spanish Prime Minister Mariano Rajoy’s humiliating defeat to Merkel had narrowed options to sovereign bailout, monetisation or default for Spain. Now that the Spanish bank bailout is unraveling and Catalonia is…

By Marshall Auerback The real weak link now in the Eurozone is Spain, where the data is a disaster. It is Greece writ large. And this is before Madrid, under Prime Minister Mariano Rajoy, has submitted to a new ECB program of agreed…

Yalman Onaran has written up a lengthy review of the deposit flight now ongoing in Europe. It is a reminder that Mario Draghi's plan to backstop Spanish and Italian sovereign debt can only do so much to stop redenomination risk, the…

By Marc Chandler The Bank of Japan did not disappoint and joined the ECB and Federal Reserve in taking new and non-traditional measures.The BOJ did practically everything that we outlined yesterdayand justified its move by downgrading its…

Catalonia is the region that was first to announce plans to tap the Spanish government's 18 billion euro bailout fund as the region has been locked out of debt markets. Earlier today, the Spanish government announced that it had obtained 3…

Last week I promised to provide a little more insight into what the ECB is doing with its OMT program and what this should mean for the euro, economic growth, and European sovereign bond markets. This weekly post is dedicated to that theme.…

Here are my first quick reactions to the ECB's new monetisation scheme. They have decided to buy bonds on the secondary market in potentially unlimited quantities up to three-year maturities for countries that submit to a Troika program.…