09:09 – As expected, the markets have responded favorably to the Spanish bailout. That won’t last long. Like all of the bailouts and other actions taken to “save” the euro, this amounts to slapping a fresh coat of paint on a rotting structure. The markets will soon recognize that, as they always do, and Spanish sovereign debt will start heading for the 7%+ range again.
We got fair amount done over the weekend on a new batch of chemistry kits. The only major job that remains is filling a whole bunch of bottles.
09:28 – Wow! That was faster than even I expected. Benchmark Spanish bond yields started this morning just under 6%, and they’re already at 6.2% and climbing. Apparently, investors have already realized that promising a bailout doesn’t mean the money is actually available to do it.
09:31 – And, as of a few minutes ago, they’re at 6.4% and climbing.