Portugal, Spain in crosshairs as Ireland bailed out

[Joanne98]

Source: Reuters

(Reuters) - The European Union's bailout of Ireland is unlikely to halt expectations that the euro zone debt crisis will spread to Portugal, or provide reassurance that a firewall can be built around Spain.

Europe's debt contagion has moved on from Greece to consume Ireland in a matter of months, even though Ireland had complained it was not like Greece and did not need help to sort out its bad banks or a gaping budget deficit.

Sunday's decision by EU finance ministers to prop up Ireland with 85 billion euros may temporarily halt financial market pressure on euro-zone debt.

But renewed pressure is likely to be applied to Portugal and Spain, where yields on 10-year government bonds rose sharply last week as debt markets priced in the risk that Iberia could be next in line after Ireland.



Read more: http://www.reuters.com/article/idUSTRE6AR33E20101128

[virgogal]

1. I visited these countries when they were at the top of their game.

Sad-----and terrifying.

[OlympicBrian]

2. Spain and Portugal both much larger than Ireland in Population

Portugal about twice the size of Ireland, Spain about ten times, in population.

Spain about five times the GDP of Ireland.

http://www.indexmundi.com/g/r.aspx?c=ee&v=21
http://countries-of-europe.com/?p=37

[OlympicBrian]

3. Foreclosed Homes May Flood Spanish Market as Banks Offload Unwanted Assets

The number of foreclosed homes for sale in Spain may triple next year as new accounting rules prompt lenders to dump their depreciating assets, according to the co-founder of a website that advertises repossessed properties

http://www.bloomberg.com/news/2010-11-24/foreclosed-homes-may-flood-spanish-market-as-banks-offload-unwanted-assets.html