Markets Have Taken "Spanish Fly" For Purposes Of Seduction

Irish bailout talks appear like a dose of "Spanish Fly" for the markets today. While the growth in Spain stalls, the pressure in the ticking time bomb in Europe climbs higher today. 5-year benchmark cash yield of Spanish government bonds reached the year-to-date closing high today in nominal terms, while the spread to Germany was observed a bit higher just a week ago ...

Click on charts to enlarge, data courtesy of Thomson Reuters.