Reuters: Germany asking Spain to wait on bailout

Just a headline for now, hitting the wire.

Not sure why the market is rallying. I guess the willingness of Spain to ask for help is seen as a plus, even if Germany is reluctant, for the moment.

EUR/USD now at 1.2880 after a tick up to 1.2896.

UPDATE: Full story here.

Here is the money quote on Germany’s reluctance:

Privately, several European diplomats and a senior German source said Chancellor Angela Merkel preferred to avoid putting more individual bailouts for distressed euro zone countries to her increasingly reluctant parliament.

“It doesn’t make sense to send looming decisions on Greece, Cyprus and possibly also Spain to the Bundestag one by one,” the senior German source said. “Bundling these together makes sense, due to the substance and also politically.”