Europe’s four-year old debt crisis seems to be in remission. Dutch voters backed pro-euro parties in Wednesday’s poll, the German Constitutional Court gave the go-ahead for the region’s permanent bailout fund and the European Central Bank’s (ECB) latest bond program seems to be working, even before it’s begun.
Yields on Spanish and Italian bonds have fallen, the euro is at its strongest in four months against the dollar and European stocks are trading at their highest in almost a month.
The turnaround has been so dramatic that it’s allowed Spain, one of the most badly affected countries, to suggest that it may not need aid after all.
“I don’t know if Spain needs to ask for it,” Spain’s Prime Minister Mariano Rajoy told parliament on Wednesday, referring to external aid.