AND NOW THE PAIN IN SPAIN – At 7:36 P.M. ET: I urge you to follow this story.  There is a debt crisis in European nations.  Greece needs to be bailed out.  If the crisis spreads, and it looks as if it may, it could destabilize the international financial system.  Now we learn that Spain is on the brink.

We are told that President Obama is following this closely.  Maybe he'll blame it on Israeli settlements.

From The New York Times: 

BERLIN — European leaders scrambled Wednesday to quell the market instability growing out of Greece’s debt crisis, with German officials seeking legislative approval for a major contribution to an international aid package that looks as if it could reach 120 billion euros ($160 billion) over the next three years.

One day after cutting Greece’s status to junk and downgrading Portugal, a major ratings agency also cut Spain’s debt rating by a notch and the euro reached a one-year low, underscoring how difficult it will be for Europe to contain problems that started in Greece.

“Every day which is lost is a day where the situation is getting worse and worse, not only in Greece but in the whole European Union,” said Dominique Strauss-Kahn, managing director of the International Monetary Fund. “It’s the confidence in the zone which is at stake and that’s why we need to act swiftly and strongly.”

COMMENT:  I don't want to gloat.  Well, actually I do.  But aren't these the same countries that are constantly lecturing us and ridiculing us?  Same old story.  Europe struts around feeling very superior, while its foundations are crumbling.

A number of European countries are in trouble.  Can this affect our recovery?  I'm not economist, but the impression I get from a number of news sources is, definitely yes.  Europe is one of our largest export markets, and if its economy slides, purchases of American goods will slide as well.

This will be a day-by-day thing.

April 28