Investing

Bad News From Spain’s Debt Auction & GDP Cut… Not So Bad (EWP, STD)

Spain’s 3.5+ billion Euros 10-year debt auction was a bad auction and the yield went off at 6.975%.  This is almost at the 7% threshold and the auction was looking for 4 billion Euros.  Spain’s finance minister also lowered the…

By Jon C. Ogg
Published November 17, 2011, 8:04am ET · 1 min read

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Spain’s 3.5+ billion Euros 10-year debt auction was a bad auction and the yield went off at 6.975%.  This is almost at the 7% threshold and the auction was looking for 4 billion Euros.  Spain’s finance minister also lowered the GDP forecast to 0.8% this year.

Spanish stocks down only about 0.6% on average.  iShares MSCI Spain Index (NYSE: EWP) and Banco Santander, S.A. (NYSE: STD) have not traded in New York but should be watched with STD down almost 1% in Madrid.  Here is the catch… ONLY down under 1%?  That feels like a victory.

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Jon C. Ogg

Jon Ogg has been a financial news analyst since 1997. Mr. Ogg set up one of the first audio squawk box services for traders called TTN, which he sold in 2003. He has previously worked as a licensed broker to some of the top U.S. and E.U. financial institutions, managed capital, and has raised private capital at the seed and venture stage. He has lived in Copenhagen, Denmark, as well as New York and Chicago, and he now lives in Houston, Texas. Jon received a Bachelor of Business Administration in finance at University of Houston in 1992. www.247wallst.com.

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