Spanish recession to last until 2014, IMF warns

Spain's unprecedented double-dip recession will last for at least a further 18 months and poses a threat to the rest of Europe, the International Monetary Fund said.

ECB could take haircut on Greek bonds in 'last chance' plan

European policymakers are working on "last chance" options to bring Greece's debts down and keep it in the eurozone, with the ECB and national central banks looking at taking significant losses on the value of their bond holdings, officials said.

German minister dismisses talk of Spain debt purchases

German Finance Minister Wolfgang Schaeuble threw cold water Saturday on speculation that the eurozone's bailout fund will buy Spanish public debt.

David Cameron defends economic policies

Prime Minister David Cameron has defended the UK's economic policies, saying the government has acted "decisively" to restore confidence in its public finances.

Spain feels debt heat, Greece way off bailout terms

MADRID/BRUSSELS (Reuters) - Spain paid the second highest yield on short-term debt since the birth of the euro at an auction on Tuesday, and EU officials said Greece had little hope of meeting the terms of its bailout, casting fresh doubt on its future in the euro zone.