Sock it to 'em Rajoy!

At the very moment many commentators are reading the last rites over Greek debt, suggesting a default is imminent, the Spanish premier, Mr Rajoy, pops up to wave the proverbial two fingers at the EC, the fiscal pact and Mrs Merkel. You can hear the gears crunching in eurozone capitals  and in Brussels.

http://blogs.telegraph.co.uk/finance/ambroseevans-pritchard/100015432/spains-sovereign-thunderclap-and-the-end-of-merkels-europe/

http://www.telegraph.co.uk/finance/financialcrisis/9123636/European-Commission-warns-Spain-deficit-slippage-is-serious-and-grave.html

Allied to this Mrs Merkel has problems within her government:

http://www.spiegel.de/international/germany/0,1518,819275,00.html

The French presidential election is casting  a dark cloud over euroland as the likely winner, Hollande, is expected to tear up the fiscal pact.  More on the French election:

http://us2.campaign-archive1.com/?u=8b4a4cd5161f88c6ffb5b20fe&id=b04fbb1083&e=2e36ef8884

http://www.spiegel.de/international/europe/0,1518,819297,00.html
Meddling in France

Adding to the woe:

http://www.telegraph.co.uk/finance/financialcrisis/9124569/European-recovery-rocked-by-poor-economic-data-in-Spain-and-Italy.html