スペインの株式市場は2'5%上昇し、スペインの10年国債の金利は下落を続け+500で6'54%に
The risk premium continues to fall and remain around 500 basis points
The differential remains debt levels when the ECB cut rates
Mariano Rajoy's willingness to seek help from Brussels calms the differential
The Dow is up 2% and retrieves the 7,200 points
See live markets developments
E. WEAVER Madrid 16 AGO 2012 - 16:23 CET
The risk premium, the spread between 10-year Spanish bonds and German, to be safe, down to 500 basis points (5 percentage points) at twenty past four in the afternoon after having reached the 515 basis points during the morning. The spread with German debt closed at 508 points yesterday, the lowest level since early July.
In the previous two days, Mariano Rajoy's willingness to ask the European Central Bank (ECB) support the European bailout fund and on German debt sales, which have increased their interest and reduced the differential, have been a balm for Spanish debt market. The spread fell 18 points on Tuesday and 18 on Wednesday, reaching levels of early July. Then, the European Central Bank (ECB) announced a cut in interest rates to 0.75% and dismissed the action "unconventional".
The Ibex 35 stock index is the most climbs. He has regained the 7,200 points after rising to over 2.5% and is the highest level since April. The other European markets, except London, quoted also in green. Milan wins by 1.23% and the German Dax, Paris 0.23% and 0.10% does. London loses, meanwhile, a 0.10% The volatile Bankia is the value of the Spanish index most wins (16%).
Recovery of Spanish debt, which has fallen in two days more than 30 basis points, allowed the Spanish 10-year bond came down by 6.7%. Today, after a slight rise at the start of the day compared to yesterday's trading, the bond already stands below 6.6% while the 10-year German debt has a yield of 1.539%.
It seems that the threat of Greece to ask for a postponement of two years to meet its obligations is taking its toll on the markets. In this regard, the Minister of Economy and German Vice Chancellor Philipp Rösler, has spoken this morning against possible concessions to Greece in its adjustment plan and said that the fulfillment of the commitments made in the memorandum of understanding is key to credibility of the Eurozone.
Italian debt, meanwhile, is moderating after the rally that has experienced this morning. Minutes later it was revealed that Prime Minister Mario Monti, the study denies a reduction of income tax, as announced yesterday the newspaper La Repubblica, the spread has begun to shrink and the 433 basis points that has come, has dropped to 417 (4.17%).
The euro traded slightly lower, at $ 1.228 and a barrel of Brent crude, the European benchmark, it does at $ 116.40.
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