Spain Panic Sends Dow Down 200+

Spanish bonds hit dizzying high
By Kevin Spak,  Newser Staff
Posted Jul 23, 2012 9:13 AM CDT
In this Wednesday, July 18, 2012, file photo, trader William Sachs, right, check prices as he works on the floor of the New York Stock Exchange.   (AP Photo/Richard Drew, File)

(Newser) – The Dow took a nosedive this morning, as did markets the world over, after Spanish media reported that up to six regions may need assistance from the federal government, sending the yields on Spanish 10-year bonds to a new high of more than 7.5%. The Dow plunged 237 points following the open, while the Nasdaq and S&P fell 71 and 24 points, respectively, according to the Wall Street Journal.

"Nothing is really fixed in Europe," one Wells Fargo strategist tells Bloomberg. "The Spanish situation is chronic. And it’s not just Spain. This isn’t over." Indeed, investors are once again fretting about Greece's future in the eurozone, Reuters reports, with Germany and the IMF signaling Athens hasn't done enough to merit further bailout payments. Italian 10-year bonds shot up, too, to 6.37%, making them more expensive than Irish bonds for the first time since 2009.

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