Spain faces 'total emergency' as fear grips markets

"We're in a situation of total emergency, the worst crisis we have ever lived through" said ex-premier Felipe Gonzalez, the country's elder statesman. The warning came as the yields on Spanish 10-year bonds spiked to 6.7%, pushing the "risk premium" over German Bunds to a post-euro high of 540 basis points, writes the Telegraph. The IBEX index of stocks in Madrid fell 2.6%, the lowest since the dotcom bust in 2003. Chaos over the €23.5bn rescue of crippled lender Bankia has led to the abrupt resignation of central bank governor Miguel Ángel Fernández Ordóñez, who testified to the s...