The Spanish government sharply cuts its hopes for the economy and, as a result, pushes out 2 years to 2016 its plan to hit the EU's budget deficit target. Unemployment is now seen at 27.1% this year and 26.7% in 2014. 2013 GDP growth is seen at -1.3% vs. -0.5% previously. The deficit is expected to hit 6.3% of GDP this year, 5.5% in 2105, and 4.1% in 2015 (vs. 1.9% EU target). Madrid (EWP) leads on the way down in Europe today, off 1.2%.