The Spanish stock market turned slightly bullish after Mario Draghi make statements defending the euro last Thursday and euro group president Jean-Claude Juncker's confirmed that the European Central Bank (ECB) and the European recovery fund will be ready to do what is necessary to calm down volatile a financial sector.
The banks are booming. In the past two sessions they have posted double-digit gains.
It's true that the ECB has bought some time, as Moody's pointed out yesterday. But Thursday of next week will determine whether the market's high hopes can turn into sustained gains as reform measures materialize. Because, if not, Spain's future could be in more danger than ever before.
