Spain Downgraded, Seen Asking for Bailout Saturday
Fitch cut Spain’s credit rating by three notches late Thursday, leaving it two levels above junk, and Friday morning word circulated that the country would ask for a bailout on Saturday.
Talk of Greek Euro Exit Grows as Political Deadlock Continues
More than a week after elections brought anti-austerity parties to the fore, the task of brokering a compromise is in the hands of President Papoulias, who thus far has been as unsuccessful as the party leaders themselves.
Greece Agrees on Sharp Cuts to Clear Way for Bailout
Disagreement over pension cuts had stalled an agreement among Greek leaders on austerity reforms demanded by the troika of the European Union, International Monetary Fund and European Central Bank.
Greece Missed Bailout Deadline: EU Commission
Greece has already missed its Monday deadline to come up with a deal to satisfy the conditions for its second bailout, according to the European Union, and has failed to make the decisions that would finish the deal.
EU to Greece: Put It In Writing
The European Commission ordered Monday that Greece’s new leaders must put in writing their pledge to honor new austerity measures before Athens is given its sixth installment of aid.
Push for Greek Austerity Vote
Prime Minister George Papandreou pledged to European leaders on a trip to Berlin on Tuesday that Greece would pass the latest round of austerity measures required for Athens to receive the latest round of funding its rescue package.
Collateral Demands Threaten Greek Bailout
After a Greek-Finnish agreement earlier this week under which Athens would provide collateral in exchange for Finland's share of its rescue package, other nations are clamoring for collateral as well. That could unravel the whole deal.
Portugal Downgrade Angers EU, Roils Markets
The downgrade of Portugal's debt to junk status late Tuesday angered the European Commission (EC), which criticized the move even as it took its toll on the markets on Wednesday.