| Submit your comments on this article |
| Europe |
| Spanish economy in "huge crisis" after credit downgrade |
| 2012-04-28 |
| Spain's sickly economy faces a "crisis of huge proportions", a minister said on Friday, as unemployment hit its highest level in almost two decades and Standard and Poor's downgraded the government's debt by two notches. Unemployment shot up to 24 percent in the first quarter, one of the worst jobless figures in the developed world. Retail sales slumped for the twenty-first consecutive month as a recession cuts into consumer spending. Standard and Poor's cited risks of an increase in bad loans at Spanish banks and called on Europe to take action to encourage growth. The downgrade spooked financial markets, raising the interest rate fellow euro zone struggler Italy was forced to pay to sell 10-year bonds at auction. The yield was its highest since January as investors worried about the economic outlook in the bloc's indebted states. |
| Posted by:lotp |
| #7 Trying to prevent money-flight. |
| Posted by: Pappy 2012-04-28 21:54 |
| #6 This was announced/scheduled over a week ago, but just makes the 'crisis' look even worse. Spanish authorities suspended the Schengen Treaty, which allows unrestricted travel inside member nations, and imposed controls at six border crossings with France and at Barcelona and Gerona international airports. Security forces have been strengthened with 2,000 extra police on duty until midnight on May 4, when the restrictions are due to end. |
| Posted by: Anguper Hupomosing9418 2012-04-28 18:49 |
| #5 The Gods of the Copybook headings with fire and thunder return. |
| Posted by: g(r)omgoru 2012-04-28 16:10 |
| #4 Quick! Elect another Socialist! |
| Posted by: newc 2012-04-28 09:18 |
| #3 The Spanish economy was in a "huge crisis" BEFORE the credit downgrade. True, but now it's so bad that they simply cannot deny/hide it any longer. Put another way: if I ever hear the US Government say 'we are in a huge crisis" in the economy...I'm heading for the hills. Mike |
| Posted by: Mike Kozlowski 2012-04-28 07:33 |
| #2 Fall in debt reveals how bad Spain's economy has BEEN. |
| Posted by: Bright Pebbles 2012-04-28 07:19 |
| #1 The Spanish economy was in a "huge crisis" BEFORE the credit downgrade. |
| Posted by: Anguper Hupomosing9418 2012-04-28 00:19 |