Spain's Yield Jumps Again

As Greece exit from the single currency area seems to be more realistic scenario than ever, investors fear that it will have a contagious effect on other fiscally problematic nations. Amid these sentiments, Spanish government borrowing costs soared to 4.375% for January 2015 bond, up from 2.890% on April 4, when the previous auction took place. July 2015 average bond yield came in at 4.876% (up from 4.037% on May3). The average yield of April 2016 bond was 5.106% (up from 3.374% on March 15). Altogether Spain sold EUR 2.494 billion in short-term bonds.