Euro gains ground as Spain gets €100bn bank bailout

The single currency strengthened against the dollar today as Spain was granted a €100bn EU and IMF bailout to prop up its banking sector.

Prime Minister Mariano Rajoy (pictured) hailed the rescue package outlined over the weekend as a victory for the government, which has managed to avoid a wider bailout for the country. He told reporters in Madrid: "If we had not done what we have done in the past five months, the proposal yesterday would have been a bailout of the kingdom of Spain," he said. "It was the credibility of the euro that won," he added. The euro rose nearly 1% to $1.26694, its highest level since 23 May, before pulling back to trade at $1.2627. Asian markets rallied overnight, with Shanghai's index 1% hi...