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Stephen Pope on eurozone finance ministers returning to Cyprus after a summer hiatus, and what’s ahead for the struggling European economy.
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Eurozone finance ministers -- -- meeting in Cyprus and a putting pressure on Spain to decide whether it means more financial support joining me now to talk about this Stephen Pope managing popular spotlight ideas Stephen.
Welcome to the show -- problem -- look many analysts including yourself believe that Spain needs a bailout so.
Why is prime minister rajoy stalling so much and what does.
Gain from doing that.
He's noticed that in the policy the politicians in Greece Ireland and Portugal -- -- -- -- -- what old show in the -- pushed out of office.
Thank you shouldn't worry too much about that because she's gold for -- until he has to seek reelection from the people.
But -- opinion poll support for the popular policy which he leads the full remarks and unfortunately the Socialist Party in Spain is in such a mess -- not capitalize on out of Seoul.
I suppose he's risk is the policy itself might depose him as incompetent prime minister.
What I think you've got a situation he said for so many months now to explain does not need to buy it out so as a suddenly -- -- -- well actually you know we do.
Is really got to show that he's rather -- took the job.
So why should US investors speak so concerned about what's going on in Spain.
Intel isn't the influence of Spain has -- a relationship we just trade with the US it's not a -- big thing but the fact is Spain.
-- the fourth largest economy in the eurozone and US trade with the Euro zone is a significant tough facto.
That's the years and continues to keep flat lining we just -- from while worrying situation to another IE Greece needing a third bailout will Spain finally bite the bullet and go for an assistant for the package and so on.
-- dragging the whole European project -- on the despite all the euphoria that says this has been a great week for Europe.
We are still in the -- moved band aid solutions.
So you don't think there's of the backstop not only of the ESM the bailout fund that would -- supposedly to be in place by January.
But also -- unlimited bond buying by the ECB you don't see that as.
A significant step toward solving the debt crisis.
I think what it does is just puts a backstop against yields soaring to astronomical levels.
But it doesn't actually do anything to.
Despite whatever -- -- might be agreed and signed up to designed to ensure that reform and a reinvigorating European economies guys take place.
I think what you can actually find is that the market could easily say -- -- that we cannot social specialist state are gonna have to jump in now Stephen Pope in London thank you so much we have.
