Spain moved back into the eye of the eurozone storm on Thursday as the country's borrowing costs rocketed to unsustainable levels, and the authorities were forced to deny that one of its biggest banks was in meltdown.
NICOSIA — The president of Cyprus said on Friday the risk of bankruptcy had been contained and the country had no intention of leaving the euro, in a speech laden with criticism of Europe’s currency union for “experimenting” with the island’s fate.
Conservative leader Nicos Anastasiades spoke a day after banks reopened following an almost two-week shutdown imposed as the country raced to clinch a rescue package from the European Union.
Everyone thought 2012 was the year the euro crisis subsided. The ECB finally stepped up to the plate, bringing government borrowing costs in Spain and Italy down from unsustainable levels. Meanwhile, Greece avoided an exit from the euro.
By FXstreet:The euro resumed its decline versus the dollar late NY session on Tuesday, and extended below 1.2850 today, as investor worries over the eurozone crisis persist and markets are back to trading at the rhythm of European headlines.
(LONDON) — The 17-country eurozone has bowed to the inevitable and fallen back into recession for the first time in three years as a sprawling debt crisis took its toll on the region’s stronger economies. And with surveys pointing to increasingly depressed conditions across the eurozone at a time of high unemployment in many countries, there are fears that the recession will deepen, and make the debt crisis even more difficult to handle.
ROME/BERLIN (Reuters) - Political and economic crisis in Italy spurred fears of a split in the euro zone with borrowing costs for Europe's third biggest economy at unsustainable levels and the bloc unable to afford a bailout.
Government borrowing costs – as measured by 10-year sovereign bond yields – are hitting record lows across the euro zone "core" today. In France, 10-year yields have fallen to 1.75 percent. The Belgian 10-year is at 1.95 percent, the Dutch 10-year is at 1.62 percent, and the Austrian 10-year is at 1.49 percent.