Spain set to miss deficit target

French president-elect François Hollande has launched a preemptive attack blaming outgoing president Nicolas Sarkozy for the huge budget deficit of France. Given Hollande wants to tax millionaires 75%, I find it quite ironic that Hollande blames the problem on "hidden taxes" of Sarkozy. Please consider Brussels raises alert over French deficit

On January 30, 25 of 27 nations signed the Merkozy accord calling for strict budget discipline and "quasi-automatic sanctions" for nations that violate budget rules. Only the UK and Czech Republic refused to sign. Following that ceremonious signing it took precisely two days for European bureaucrats to propose "Application of the rules in a strict manner in the face of a downturn doesn’t make sense". Spain Poses Six-Pack Rules Challenge

Madrid Threatens Intervention as Regional Debt Worries Mount The Financial Times reports Madrid threatens to intervene in regions Madrid has threatened to seize budgetary control of wayward Spanish regions as early as May if they flout deficit limits, officials said – as investors took fright at the fragility of some eurozone economies.

By Paul Day MADRID (Reuters) - The likelihood that Spain will miss its

France has encouraged Spain to apply for aid as soon as possible. In Germany, Wolfgang Schäuble wants anything but a timely application. Note that unless a country requests a bailout, and agrees to terms set by the IMF (something Spain does not want to do), the entire OMT plan of Draghi is useless. Finally, at the latest EU finance meeting on Saturday, battles between eurozone and non-eurozone countries erupted over the banking union.

Thousands take to the streets of Madrid as Spain announces deeper austerity measures today to meet tough targets agreed with Europe