The Pain in Spain

Just an update ... the yield on Spain's 10-year bond is rising again.

This graph from Bloomberg shows the yield for Spain's 10-year bond over the last year. The yield was up to 5.4% today, just below the peak of 5.5% in late November.

The bond yields declined in July following the European bank stress tests, but most investors have lost confidence in those tests - and another round will be conducted early next year. But will the bond markets wait?

The yield on Portugal's 10-year bond is up to 6.27%.