- **Sweden GDP Change in Reference Year to 2014**
- Netherlands: PPI (Apr)
- Czech Republic: GDP (Q1)
- Denmark: National Accounts (Q1)
- Spain: Advanced CPI & HICP (May)
- Korea: Economic Sentiment & Business Survey Index (May), Industrial Production (Apr); Macao: Trade (Apr); Malaysia: PPI, Import & Export Price Indexes (Apr); Singapore: WPI (Apr)
- UK: GFK Consumer Confidence (May)
- more updates...
Economy in Brief
U.S. Initial Claims for Jobless Insurance Move Up
The job market remains on a firm footing...
Momentum in EU/EMU Grinds to a Halt...and Then?
Both the EU and EMU measures of overall sentiment came up flat in May...
U.S. State Unemployment Rates Trend Lower but Vary Widely
The overall U.S. unemployment rate in April of 5.4% stood at its lowest point since August 2008, remaining down from the late-2009 peak of 10.0%...
U.S. Gasoline Prices Inch Higher; Crude Oil Slips
Gasoline prices rose to an average $2.77 per gallon at the pump (-24.5% y/y) last week from 2.74 in the prior week...
U.S. Mortgage Loan Applications Ease as Rates Stay Elevated
The Mortgage Bankers Association reported that its total Mortgage Market Volume Index declined 1.6% last week (+10.9% y/y)...
Germany's Consumer Climate Continues to Improve
German consumer climate will advance to 10.2 in in June after logging 10.1 in May...
by Louise Curley June 4, 2012
Spain is in trouble once again. Capital is leaving the country and interest rates are rising, as can be seen in the attached chart. The 10 year bond rate was 6.5% on June 1st and probably higher today. The European Central Bank, the European Commission and the International Monetary Fund together with the Spanish government are engaged in trying to find ways to ameliorate the situation while the foreign banks that have lent to Spanish banks in the past are worried about their exposure to these banks.
Some Information on foreign banks' exposure to Spanish banks, as well as to Greece, Ireland and Portugal, can be found in Haver. In The Bank of International Settlements (BIS) data base, there is a table "Foreign Exposure to Greece, Ireland, Portugal and Spain" under the section, Consolidated International Claims on BIS Reporting Banks. Data are quarterly and begin in 2010. Most data end in the fourth quarter of 2011. Countries covered are Germany, France, Italy, Other Euro Area, Japan. U. S. U. K. and Rest of the World. U. S. banks appear to have the largest exposure, $227.7 billion dollars, to Spanish banks followed by Germany and other European Countries. Japanese and Rest of the World banks have much smaller exposures to troubles in the Spanish Banks.
|Exposure of Banks to Claims from Greece, Ireland, Portugal and Spain, Q4 2011 (Billions USD)|
|U. K. Banks||137.5||33.3||192.1||22.3|
|Other Euro Area*||179.6||21.9||67.2||33.5|
|Rest of World Banks*||41.3||5.7||57.3||9.5|
|* Data are as of Third Quarter, 2010|