Should We Cut Madrid Some Slack – Reasons Not to Lose Faith in Spain

Spain is in turmoil once again and the besieged European country is closer to asking for a financial bailout, but, perhaps investors should cut Madrid some slack, analysts say.

The Spanish government is taking tough measures to end the country’s debt crisis and the 2013 budget, expected to be outlined later on Thursday, could go some way to easing investor concerns, they add.

Protests against austerity measures hit Spain’s capital city for a second night on Wednesday, while fears that Spain cannot get its finances under control have triggered a renewed jump in government bond yields and a sharp sell-off in Spanish stocks – a move that has had ripple effects across global markets.

via CNBC

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