It hasn’t been a good week
for Spain. Soccer giants Barcelona and Real Madrid predicted by many to be in the Champions League
final were both eliminated this past week and Spain’s credit rating was dropped a full TWO notches
by credit rating agency
rating agency Standard & Poor's.
I wrote just last Sunday that Spain would
be next to throw Europe into a deeper mess. My Piece titled The
Next Chapter In The Eurozone Saga Begins: Spain
outlined why I felt that Spain would be the next European nation to start the next wave of Eurozone headline mongering. Of course, much of what I wrote there would take
a little time to play out
but in just one week, Span has become the number one headline leading the
Telegraph’s Finance section. I’m not taking credit. Like I said, to anyone taking the time to study these things, Spain being the next cannonball should have been clearly seen. Just a few days later Spain’s
credit rating get slammed after cut the country’s credit rating by a full . (I
love it when I beat mainstream media)
The Telegraph pretty much confirmed
my take on things. Tomorrow is the day that
Spain will officially announce that they are back into recession. Britain’s
David Cameron today said that the region was not even halfway through the debt crisis hitting
that European leaders themselves feel that there is
a lot more bleeding yet
As we noted in our
piece last week and as reiterated by the Telegraph today,
being killed right now by high borrowing costs and massive unemployment
on top of austerity measures.
The Spaniards are protesting and the people are getting
restless. What are they to do? The government is essentially broke so it
is impossible to roll out any
major incentive programs and the social system that has perhaps caused much of today’s woes, doesn’t have the money to continue to support a
nation with upwards of
25% unemployment and a youth
unemployment of 50%.
ladies and gentlemen … Greece was literally a day at the spa for what is about to hit Europe.
Costa News reported just 4 days ago that
property values continue to plummet
in Alicante Province, to their lowest
levels since 2009.
Alicante is the 4th most populous province in Spain after
Madrid, Barcelona, and Valencia. The national average
decline in price per
square metre (as it is calculated in Spain) is 3%. Alicante suffered a 5.6%
decline in just the last
3 months. Figures released
by the public works ministry
show that the inter-annual
drop in values is 6.15% while
across the rest of Spain it is 7.2%.