John Ward – UK Recession : Gipsy Merv Foresees A Recovery…. But Next Week Sees The Spanish Bailout – 21 September 2012

See Mervyn stare at glass globe. Hear Mervyn say things are recovering. And adding “albeit very slowly”. See Mervyn use the eurozone as a caveat. He should wear a tie like normal people. See a black cloud hanging over Merv’s parade.

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Mish/ Mike Shedlock – Spain Blinks: Accepts €100 Billion Baillout Vi EFSF/ESM; Frob To Receive The Money – 10 June 2012

After months of denials, a short Eurogroup Statement shows Spain will submit a formal request to Brussels for a bailout.  Here is the statement in full.

The Eurogroup supports the efforts of the Spanish authorities to resolutely address the restructuring of its financial sector and it welcomes their intention to seek financial assistance from euro area Member States to this effect.

John Ward – Euroblown : Spain Facing Disaster, But The Troika Goes La-La-La-La-Lagarde – 5 June 2012

Chrissie Lagarde goes gagagagaga

The Spanish Government is now openly admitting that doors into the credit markets are closing by the hour. But Finance Ministers of the G7 major economies have yet to take any action. Spanish Treasury Minister Cristobal Montoro sent out a dramatic SOS this afternoon poining out that the spread between the country’s 10-year bond and German/US debt was now in excess of 550 basis points. But all that happened was that his comments on Spain’s issues sent the euro down still further.

John Ward – Spanish Bankia Ruse : Draghi Bats The Stinky Ball Back To Madrid – 30 May 2012

“But eeth oonly leetle beet of thyeet, Mario…”

I’m amazed it’s taken this long to be honest, but Mario Draghi’s ECB yesterday told the chaps at Bankia thanks but no thanks in relation to their planned sh*t-for euros exchange via the ‘recapitalised’ Spanish bank. As I posted earlier this week, he had no choice: otherwise every bank from Arnhem to Zaragossa would’ve been at it.

BBC News – Spain’s Bankia Seeks 19bn-Euro Bailout From Government – 25 May 2012

Spain’s fourth-largest bank, Bankia, has asked the government for a bailout worth 19bns euros ($24bn; £15bn).

Bankia also restated its results – now saying it made a 2.98bn-euro loss for 2011 rather than the 309m euros in profit it announced in February.

Read the whole story at : http://www.bbc.co.uk link to original article

Mish/ Mike Shedlock – Spain Nationalizes BFA And 45% Of Bankia; No Bid For Catalunyacaixa, Bank Worth Less Than Zero; Der Spiegel : Germany Fears “Bottomless Pit” – 10 May 2012

The implosion in Spanish banks continues. On Wednesday, Spain nationalized BFA, the 8th nationalization since the start of the crisis.

After sinking 3 billion into CatalunyaCaixa, Spain tried to privatize the mess but there were no offers at zero euros. Clearly CatalunyaCaixa bank is worth less than zero.

Meanwhile Der Spiegel reports “Bundesbank has no idea of what is happening in Spanish banks”. Mish readers do. The Spanish banking system is without a doubt bankrupt.