Linea Directa 200 LEFT COL CAR INSURANCE

PROPERTY SEARCH

DomusVi Ciudad de Murcia residential cross content 1200

Date Published: 14/03/2023

ARCHIVED - Spanish economy: Biggest daily divebomb in Euribor history

ARCHIVED ARTICLE -

The main indicator of variable-rate mortgages in Spain has shown volatility today in the face of the collapse of two major US banks

<span style='color:#780948'>ARCHIVED</span> - Spanish economy: Biggest daily divebomb in Euribor history

The Euribor, the European daily reference of averaged interest rates, has seen its single biggest daily plunge in history today after rumours emerged of a slowdown in rate hikes.

While it had been climbing before, the 12-month Euribor has suddenly changed direction and has fallen by 3.5%, a similar fall as the IBEX 35 Spanish stock exchange yesterday, due to fears generated by the collapse of US banks Silicon Valley Bank and Signature Bank.

The European Central Bank (ECB) is due to meet this Thursday March 16 to decide whether or not to raise interest rates, given the current economic climate of enormous uncertainty.

Those who have variable rate mortgage will be holding their breath to hear Christine Lagarde’s decision on whether to raise their rates this week, as it was already tricky for many of these mortgage holders to make ends meet.

For that reason, the Spanish government has made financial aid available for those who are struggling most to pay their mortgages, and a drop in interest rates would be most welcome at this point.

Read also: How to switch your mortgage from a variable to fixed rate

Image: Archive

Linea Directa Bottom Article M-Z CAR INSURANCE

Sign up for the Spanish News Today Editors Roundup Weekly Bulletin and get an email with all the week’s news straight to your inbox

Special offer: Subscribe now for 25% off (36.95 euros for 48 Bulletins)