At those interest rates, Spain cannot refinance its debts, and it has debt auctions scheduled on June 19 and 21, provoking desperate talk of who and how to possibly bail out the entire private and public Spanish debt—which EIR roughly estimates at a EU1 trillion (give or take).
Spanish Finance Minister Cristobal Montoro told his Senate today that the situation is "critical," and the EUROPEAN CENTRAL BANK MUST RESPOND WITH "FIRMNESS AND RELIABILITY" to defend the euro project—that is, by pumping in money.
"We have run out of options," the head of the Organization of Economic Cooperation and Development (OECD), Angel Guerria, insisted. "The Europeans have to display THEIR AWESOME FIREPOWER" [an obvious appeal to egotism vs. rationality and compassion]; the ECB has to deploy "every instrument, tool, and asset" in its arsenal to defend Spanish and Italian bonds.from Standing At The Gates of Hell, And Demanding Entry
Note that they never explain how their "economic rescue plan" is supposed to accomplish what they claim; they just make an appearance periodically, using code-phrases to demand the creation of vast amounts of money, which would then be given to them in exchange for their gambling IOUs, and with which they would buy up the world at fire-sale prices to maximize their control over how the "cookie crumbles," i.e. who lives and who dies. After they get their loot, they almost instantly claim that it wasn't sufficient, thus explaining its apparent ineffectiveness. But the fact is that, as clearly demonstrated in the case of the recent Spanish bailout (see this entry), their supposed cure is killing the supposed patient, so they're at best too stupid to be giving anyone economic advice. But since they couldn't be so stupid, the only realistic option is that they're evil.