Asian markets drop after euphoria over Spain cools and fears for Italy and Greece emerge
Hong Kong (AsiaNews) - The Asian markets have opened almost all dropping 1%, after the mild euphoria of yesterday, in the hope that the loans of 100 billion euros to Spain would mark a beginning of solution to European debt.
But yesterday, the Spanish treasury bonds rose by 6.5% and Italy's 10 year bonds went to 6.032%.
Today, the Nikkei fell below 1%, that of Shanghai and Hong Kong by 0.8, 0.9 Seoul. All shares of companies that trade with Europe declined about 2%.
The fears of analysts is that the European crisis will continue to spread and that the Union is doing much to lend money to banks, but little for growth. Yesterday stock markets in the U.S. and Europe also took hits.
Adding to uncertainty is the June 17 vote in Greece, after inconclusive election last May 6, unable to produce a government to direct the country under an austerity regime following the dictates of the EU. The next Greek elections seem to be characterized by the decision of whether to stay in or exit from the euro.
China, which Europe has recently asked for financial support, but to no avail, said that the EU's move to aid Spain serves to curb the crisis in the short term, but more decisive steps are needed to protect a more continuous stability .
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