The stock market scene has deteriorated for the major Spanish companies. For the heavyweights in the European arena, neither Telefónica nor Santander is now appearing on the list of highest-capitalized companies on European stock indexes. Market cap for Telefónica and Santander's has fallen so much that the telecom and bank are now positioned at number eleven and number twelve, respectively, on Europe?s main stock market index the EuroStoxx 50.
"It was very likely that this event would end up happening sooner or later," said Manual Campos from Serfiex. "We are seeing the logical conclusion to what is going on in the European markets," the analyst said, pointing out that Spain is always heavily affected when doubts about Greece resurface.
The nationality component
While doubts persists in peripheral Europe and Spain's situation seems rather complicated, Spanish companies are getting beat down because of their nationality considering that international investors are not willing to assume the risk in the country.
