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The Spanish government sharply cuts its hopes for the economy and, as a result, pushes out 2...

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%.
Comments (4)
  • youngman442002
    , contributor
    Comments (5131) | Send Message
     
    and someone keeps buying their bonds.....strange...just very strange....
    26 Apr 2013, 08:28 AM Reply Like
  • zero1945
    , contributor
    Comments (142) | Send Message
     
    Their own banks are buying them. Huge circle-jerk Ponzi scheme.
    26 Apr 2013, 10:09 AM Reply Like
  • wmateri
    , contributor
    Comments (518) | Send Message
     
    Likely their own banks just keep buying their bonds just as Fed-fueled banks in the US buy US treasuries. Then they turn around and use these as collateral to fund the buying of stocks. With interest rates set so low, it is like free money. Unfortunately, it makes real price discovery in the equities market practically impossible leading to the inevitable (but impossible to time) bursting of that bubble.
    26 Apr 2013, 08:44 AM Reply Like
  • mickmars
    , contributor
    Comments (1323) | Send Message
     
    Ha, falling unemployment projected in 2014? Spain counting on discovering cold fusion next year?
    26 Apr 2013, 10:40 AM Reply Like
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