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Entries in Spain (8)

Wednesday
Oct102012

Standard & Poor's Downgrades Spain's Sovereign Credit

Scott Eells/Bloomberg via Getty Images(NEW YORK) – Standard and Poor’s downgraded its rating on Spain’s debt Wednesday. In a statement, S&P cited rising unemployment, spending constraints, social discontent among regional and national governments, and doubts over the Eurozone’s commitment to backing Spain’s recapitalization as reasons for the downgrade.

As a result, the country’s short- and long-term sovereign credit ratings now stand at “BBB-/A-3” -- down from “BBB+/A-2,” which is just above junk status.

It was a move anticipated by industry experts, after Moody’s downgraded Spain’s sovereign credit as well.

Global markets, including markets in the U.S., traded lower Wednesday.  The downgrade announcement may impact Spain’s borrowing costs, which could alarm stock markets in trading on Thursday.

Copyright 2012 ABC News Radio

Tuesday
Jul102012

Stock Markets Up on News of Spanish Bailout Agreement

Comstock/Thinkstock(NEW YORK) -- Global stock markets are mostly higher Tuesday morning after European finance ministers made progress on easing Spain's banking crisis.

They agreed to make as much as $30 billion available to Spanish banks by the end of this month.  The rescue had been called for after the banks were weakened by toxic loans from a collapsed property market.

After the agreement was announced, yields on 10-year Spanish government bonds fell below 7 percent.  The news also pushed European markets and U.S. stock futures up.

The finance ministers will need the approval of their respective governments before they can finalize the agreement on July 20, when they return to Brussels.

Copyright 2012 ABC News Radio

Monday
Jun112012

Spain's Bank Bailout Could Ease Europe's Debt Crisis

Hemera/Thinkstock(MADRID) -- Deep worries about Europe's financial crisis are expected to ease somewhat following the announcement last weekend that Spain's banks would receive a multi-billion dollar bailout.

Similar to what happened in the U.S. four years ago, the Spanish banking sector was in a deep hole because the bottom had dropped out of that country's housing market.

Luis de Guindos, Spain's finance minister, insisted that the bailout from Europe, figuring to be around $125 billion, would not come with any austerity measures.

The move comes just a week before crucial elections in Greece that will decide whether the country exits from the euro, the troubled single currency shared by 17 nations.

Spain is the fourth EU nation after Portugal, Ireland and Greece getting bailed out by the continent. World markets are expected to act favorably upon the news of the monetary boost to Spanish banks.

Copyright 2012 ABC News Radio

Saturday
Jun092012

Spain's Economy Minister Says Country Will Seek European Bailout 

iStockphoto/Thinkstock(NEW YORK) -- Spain's Economy Minister said in a press conference on Saturday that the country will seek a European bailout for its banks, Bloomberg News reports.

Luis de Guindos said that the aid provided will be on much more favorable terms than what would presently be possible in financial markets. He also said that euro-region finance ministers would announce the amount of funding provided, but did not say when. Spain is asking for as much as 100 billion euros, the news agency said.

Guindos said the bailout is not a "rescue" and that banks receiving aid will have to submit to conditions, according to Bloomberg.

Copyright 2012 ABC News Radio

Tuesday
Feb142012

Moody's Downgrades Six European Countries, Warns Three Others

Scott Eells/Bloomberg via Getty Images(LONDON) -- Moody's downgraded the credit ratings of six European countries on Monday and warned that three others, including Britain, could be next.

The credit ratings agency cut Italy's grade to A3 from A2, Spain's to A3 from A1, Portugal's to Ba3 from Ba2, Malta's to A3 from A2, Slovakia's to A2 from A1, and Slovenia's to A2 from A1.  All six countries were also given negative outlooks.

Meanwhile, Moody's gave negative outlooks to the United Kingdom, France and Austria, meaning that the countries could lose their AAA ratings in the future if the economy remains weak.

Monday's downgrades and warnings are a reminder that the region continues to be plagued by debt problems.´╗┐

Copyright 2012 ABC News Radio

Friday
Dec162011

Fitch Places Six Eurozone Countries on Ratings Watch

Photo by David Ramos/Getty Images(PARIS) -- On Friday, the credit ratings agency Fitch put six European countries on a downgrade watch list, causing further threat to the Eurozone which has been facing a debt crisis.

Despite affirming France's triple A rating, Fitch downgraded the country's outlook from stable to negative which could mean a ratings downgrade in two years.

Belgium, Spain, Slovenia, Italy, Ireland and Cyprus were placed under Rating Watch Negative with the probability of a downgrade at the end of a review in Jan. 2012.

Fitch said the region's crisis has been on a negative decline since July causing concern about the financial stability of member nations.

"In the absence of a 'comprehensive solution', the Eurozone crisis will persist and likely be punctuated by episodes of severe financial market volatility," said the agency in a statement.

Copyright 2011 ABC News Radio

Thursday
Nov172011

Stock Futures Flat as Occupy Protesters Say They'll 'Shut Down Wall Street'

ABC News(NEW YORK) -- The U.S. stock market is headed for a slow start on Thursday -- the same day Occupy protesters threaten they'll "shut down" the New York Stock Exchange.

Occupy Wall Street has called on its backers to "gather in Liberty Square at 7:00am, before the ring of the Trading Floor Bell, to prepare to confront Wall Street with the stories of people on the frontlines of economic injustice."

Ahead of Thursday's opening bell, stock futures are mostly flat.  The day before, the market faced a sharp descent.  The Dow Jones Industrial Average lost 191 points on Wednesday, while the Nasday shed 47 and the S&P 500 dropped 21.

Trading also continues to take a hit from the debt crisis plaguing Europe.  In the latest development, the Spanish Treasury sold 10-year bonds on Thursday at a yield of nearly 7 percent -- the highest interest rate since the euro was established. The news sent European stocks down.

Elsewhere, in Asia, stocks closed mixed on Thursday.  South Korea’s Kospi gained 1.11 percent, Australia's S&P/ASX 200 rose 0.25 percent, and Japan's Nikkei index added 0.19 percent.  Hong Kong’s Hang Seng, on the other hand, dropped 0.76 percent, while China's Shanghai Composite fell 0.16 percent.

Copyright 2011 ABC News Radio

Friday
Jun102011

Hackers Allegedly Associated with PlayStation Attack Arrested

PR NEWSWIRE(BARCELONA, Spain) -- Spanish authorities say they have arrested three members of the international group of computer hackers who call themselves Anonymous.

All three are Spanish, and between the ages of 30 and 32, said Manuel Vazquez, chief of the police department's high-tech crime unit. They were arrested in the coastal city of Barcelona, in the region of Valencia and in the southern city of Almeria. Their names were not immediately made public.

There are reports that the three were involved in April's crippling attack on Sony's PlayStation Network. Sony had no immediate comment.

Vazquez said a computer server in one of the suspects' homes was used to take part in cyberattacks on targets, including two major Spanish banks, the Italian energy company Enel, and the governments of Egypt, Algeria, Libya, Iran, Chile, Colombia, and New Zealand.

But the men arrested Friday are only a small part of a loosely organized network. Messages from Anonymous have claimed the group hacked Sony, PBS, banks, credit card databases, and government websites, including Egypt's and New Zealand's.

It's been a bad year for computer security. Citibank acknowledged this week that a data security breach in early May exposed information on about 210,000 of its bankcard customers. Lockheed Martin was also the target of an attack on its internal computer network. 

Copyright 2011 ABC News Radio´╗┐







ABC News Radio