Greece 'on edge of bankruptcy'; Spanish yields hit fresh high

Spain and Germany have moved to reassure investors the former will not need a full-blown bailout, while Greece has found itself back in the headlines after a warning it faces imminent bankruptcy.

In the latest twist in the eurozone debt crisis, Spain saw the yield on its 10-year government bond climb to a new high of 7.6% on Tuesday, an unsustainably high cost of borrowing in the bond markets. German Finance Minister Wolfgang Schaeuble and his Spanish counterpart Luis de Guindos issued a statement to placate investors, in which they said the yield spike did not reflect the country’s economic fundamentals. Meanwhile, international inspectors have warned Greece is in a precarious position as it will have to refinance billions of euros of government bonds in less than a month and...