The yield on Spanish government debt is racing higher this afternoon despite the move by the European authorities to spend €100bn bailing out the country's banking system.
Spanish Prime Minister Mariano Rajoy hailed the rescue package as a victory for the government, but the plaudits were short-lived, with bearish traders quickly turning on Spanish and Italian government debt.
By 13:20pm, the yield on benchmark 10-year Spanish debt was 23 basis points higher at 6.4%, while Italian yields were up around 6%, hitting week highs.
Yields on safe haven bonds were also marginally higher, but not enough to prevent spreads widening, with German bunds up 0.015% at 1.331%, and UK gilts up 0.019% at 1.654%.
Yields climbed as Rajoy declared the €100bn bailout a 'credit line' for the country's banking system.
Spain is the largest economy yet to seek aid from the European authorities, with Ireland, Greece and Portugal having already received bailouts.
Caring for children and elderly relatives
Similar to June 2007
Square Mile’s series of informal interviews
Fine reduced to £60,000
Two roles created