The eye of the storm has passed. The Spanish stock market lost support at 8,000 points and the risk premium jumped to 461 basis points. Why has to focus turned again to Spain? Because statements made before Congress are causing people to wonder nervously whether the country will follow in Greece's footsteps.
Further, there are political conflicts like the Catalonia elections and economic problems. For example, it is unclear whether Spain can meet this year's deficit objective, and the unfortunate statements that Rajoy made to the Wall Street Journal have pushed up the risk premium.
Deceived by a phantom stability, Rajoy did not ask for a bailout months ago. And now he will be forced to ask for one in the peak of the financial storm.
