We often say that investors can be bullish, bearish, or not enough of either. "Our debt is clean, we will not have to ask for help," said Elena Salgado, Spain's finance minister, on April 30th, appealing to the bulls. That is, if there are any bulls left in sovereign debt.
Currently, there is no shortage of bearish sentiment regarding global sovereign debt issues. In recent weeks, Greece, Portugal, and Spain have all had their credit ratings downgraded, with Greece taking on junk status. Yet despite this flurry of negative news, I would submit that investors are still not bearish enough, particularly on Spain.
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Filed under: * Economics, Politics • Economy • Consumer/consumer spending • Corporations/Corporate Life • Credit Markets • Housing/Real Estate Market • Labor/Labor Unions/Labor Market • The Banking System/Sector • The Credit Freeze Crisis of Fall 2008/The Recession of 2007-- • Politics in General • * International News & Commentary • Europe • Spain
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