Eurozone crisis-Spanish economy concerns

The condition of the Spanish economy continues to worry investors in the Eurozone, as their cost of borrowing continues to rise but is not yet at "alarm bell" levels.

With Greece out of the spotlight, for now anyway, the markets are focusing on the much larger Spanish economy and although the Eurozone bailout fund has been increased, it may need to contain more promises to contribute funds in emergency scenarios, to shore up market confidence.

Sterling has benefitted from Euro weakness, currently on an 18 month high against the currency and we also pay a lot less than most EU members for our funding. UK plc is still seen as a better bet to place long term money than many of our European neighbours, despite the economic problems faced here.