Weekly Business News Summary -- week ending June 16, 2012
Weekly Business News Summary -- week ending June 16, 2012: Greek voters head to the polls on Sunday, and Europe's debt crisis was the focus of much attention again this week. Greeks are already withdrawing savings from their banks and last weekend's decision to give Eurozone loans of up to €100bn to support Spanish banks only intensified market fears that Spain itself would soon need a bailout. The markets focused on the fact that the bailout will add about 10% of GDP to Spain’s government debt of 70%. The yields on 10 year Spanish bond yields rose briefly over 7% on Thursday...Credit Suisse estimates that, if all EFSF/ESM (bailout funds) commitments are fully utilised, Germany could amass potential liabilities to the peripheral economies amounting to €671bn, or 25% of German GDP.
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