European officials will move to prevent Spain from dragging the single currency into a new round of convulsions this week as a series of high-level meetings aim to ease the three-year-old European debt crisis.
European finance ministers meet in Luxembourg today to discuss Spainâ€™s overhaul effort and closer banking cooperation, while on Oct. 10, Spanish Prime Minister Mariano Rajoy travels for talks with French President Francois Hollande in Paris. Germanyâ€™s Chancellor Angela Merkel tomorrow makes her first visit to Greece since the crisis began in 2009.
â€œIt feels as if we are in for a month or so of Spanish trouble,â€ Erik Nielsen, London-based chief global economist at UniCredit SpA (UCG), wrote in a note yesterday. Nielsen cited the risk that Spain will wait too long to request financial assistance and that a rescue package will be badly designed.
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