CHART OF THE DAY: The Spanish Bailout Disaster

button more charts
button chart prev
button chart next

Despite a strong start, European markets quickly soured to a proposed Spanish bank bailout, accelerating a mid-day sell-off.

Investors are now concerned that aid provided by international bailout funds would subordinate current Spanish bondholders to European lending mechanisms, regardless of the fact that the funds are intended for the banks.

This angst was readily apparent in yields on 10-year Spanish bonds, which serve as a good indicator for perceived long-term stability risk in the real world. They rose a full 29 basis points today to hit 6.51 per cent.

Check out Spanish-10 year bond yields today:

Here’s Why Everyone’s Freaking Out That The Spanish Bailout Won’t Work >

NOW WATCH: Money & Markets videos

Want to read a more in-depth view on the trends influencing Australian business and the global economy? BI / Research is designed to help executives and industry leaders understand the major challenges and opportunities for industry, technology, strategy and the economy in the future. Sign up for free at