Spanish bond yields rose to a record high Tuesday as investors remain worried about the link between Spanish banks and the government.
The yield on 10-year Spanish bonds rose to 6.83%, marking the highest level since the euro was introduced in 1999.
"We're in uncharted territory," said Nick Stamenkovic, market strategist at RIA Capital Markets in Edinburgh.
Fitch downgraded the credit rating of 18 Spanish banks, pointing to the weak economy and the MOREBen Rooney - Jun 12, 2012 11:13 AM ET
Spain plans to auction up to 2 billion euros worth of bonds Thursday in what could be an important test of the government's ability to raise money from investors.
Days after the Spanish treasury minister said the government is in danger of being shut out of the market, Madrid will offer between 1 billion and 2 billion euros worth of 2-year, 4-year and 10-year bonds.
Spanish bond yields have been rising recently MOREBen Rooney - Jun 6, 2012 2:34 PM ET
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