Attacks Against Spanish Financial Markets?

The National Intelligence Center (CNI) is investigating who is behind the speculative attacks on the financial markets in Spain,  as seen in Greece and in several southern European countries, the Spanish news paper El Pais reports.

“If Greece fall, is a problem for the euro area. If Spain goes down, it’s a disaster.”

Nouriel Roubini

According to El Pais The National Intelligence Center (NIC) is investigating “speculative attacks” on Spain in the financial markets, as seen in Greece and other southern European countries lately. The Spanish authorities fears it might be more than just aggressive investors behind.

As the paper correctly points out, accusations like this is very common in times of economic crisis.

In the 90’s several political leaders launched campaigns against the pesetas and other nations currencies, and it’s no different this time around.

The Spanish president José Luis Rodríguez Zapatero has hinted several times that of the attacks of the British and American press is an offensive against the euro and is affecting Spain.

“The NIC is investigates whether investors aggressiveness as shown in media obeys market dynamics and the challenges facing the Spanish economy, or if there is something more behind that campaign,” El Pais writes.

The investigation is expected to last for several weeks, the paper says. NIC decline to comment on the matter.

At the World Economic Forum professor Nouriel Roubini warned against a spillover effect from Greece to other countries like Spain and Portugal.

“If Greece fall it’s a problem for the euro zone, if Spain goes down it’s a disaster,” he said.

Read the full article in Spanish.

(Or try to make sense of this Google-translation to English).

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Filed under International Econnomic Politics, National Economic Politics