France and Spain on Thursday sailed through their first bond market tests since Standard & Poor's downgraded their credit ratings last week, a sign that politicians and central bankers have at least temporarily stemmed the spread of Europe's debt crisis.
Worries about the 17-nation eurozone have receded since the start of the year, with stocks rallying consistently and bond yields — the rate countries pay to borrow — sliding.
Analysts warn, however, that those gains may simply be riding an absence of bad news — a looming recession could hinder efforts to slash deficits while Greece depends on a deal with banks to avoid a disastrous default this spring.
For more: Confidence in eurozone improves despite downgrades - CBS News
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