Rajoy of quality assurance that the allegations of illegal payments are wrong against criticism, with the opposition demanding Hey step up to restore confidence in the political class included.
"Rajoy should resign to make room for another prime minister, can produce again, the strength, credibility and stability that Spain needs," opposition leader Alfredo Perez Rubalcaba during a televised press conference yesterday said.
Former Italian Prime Minister Silvio Berlusconi wins in public opinion polls before general elections on February 24 to 25, even as he stands trial on charges he paid a minor for sex and appeals to a four-year prison sentence for tax fraud.
The extra yield investors demand, Spanish 10-year bonds to keep instead of German bunds widened 28 basis points to 381 basis points to 383 basis points, the most since Jan. 2 reach. The Italians Germany expanded 19 basis points to 285 basis points spread.
The Spanish spread in the coming weeks may increase to 400 basis points, said Commerzbanks Leister.
Investors should assume Feb. 1 after a research note by Morgan Stanley strategists, including global head of interest rate strategy Laurence Mutkin in London a more cautious attitude towards the European bonds.