FT: New Spanish government a failure, even before the election

Everything happens faster in the age of the interwebs.

With Spanish spread wider than Italy’s today, we’ve already concluded that the Conservative government that is expected to be elected this weekend in Spain is a bust!

Spain’s risk premium – a measure of perceived riskiness based on the interest rate spread of its 10-year bonds over German Bunds – rose above that of Italy for the first time since August. On Friday afternoon, Spanish 10-year bonds were yielding 6.76 per cent, Italy’s 6.67 per cent and Germany’s 1.99 per cent, according to Bloomberg data.