Spain's 10-year bond yield hit a euro lifetime high of 7pc - a staging post above which Greece, Ireland and Portugal were driven to seek international rescues - despite last weekend's euro zone agreement to lend Madrid up to €100bn to recapitalise ailing banks. Moody's Investor Service slashed Spain's sovereign credit rating by three notches to Baa3, just one level above junk, late on Wednesday, adding to the sense of emergency in financial markets ahead of an election in debt-plagued Greece on Sunday. Mariano Rajoy was reportedly holding a crisis meeting this afternoon. Merkel, addressing parliament in Berlin, ... (full story)