European morning wrap: The market giveth and the market taketh away…

Spain's Treasury Minister: At current borrowing costs market door not opened to Spain.  It's technically impossible to rescue Spain Australian Treasurer Swann:  Great scope for deployment of monetary stimulus in our economy BAFIN President:  German banks' exposure to Greece is limited Riksbank's Ingves:  Spain needs to recapitalize banks. Spain approaching moment of decision OECD's Gurria:  No reason Spain should be paying 7% interest when it is taking all the right decisions Eurozone May final services PMI 46.7, touch better than flash read of 46.5.  Composite PMI 46.0, also fractionally better than flash read of 45.9. But lowest read since June 2009 Eurozone April retail sales -1.0% m/m, -2.5% y/y, demonstrably weaker than Reuter's median forecasts of -0.1%, -1.1% respectively German April manufacturing orders -1.9% m/m, weaker than Reuter's median forecast of -1.0%.  But March data revised upwards to +3.2% m/m from previous +2.2% Global slump alert as world money contracts - AEP at The Telegraph And now courtesy of Bridgewater.....It's Italy's turn - Zerohedge The fledgling EUR/USD rally hit a brickwall this morning.  From an early 1.2525 we're down at 1.2430 having been as low as 1.2415 at one stage.  The move accelerated when sell stops were tripped through 1.2490.   It's hard to pinpoint any concrete trigger for the renewed pressure, but comments from Spain's Treasury Minister (see above) didn't help. Markets were particularly illiquid with London out and this no doubt exacerbated the speed of the sell-off. if not necessarily the extent. USD/JPY sits at 78.25, a mere 1o pips from where we started. AUD/USD down at ..9730 from early .9775.  Comments from Australian  Treasurer Swann (see above) will have been noted.  The official thinks there's lots of room for further monetary easing.