Did the Spanish bank bailout actually happen?

European and Spanish flags flutter next to the Bank of Spain in Madrid. Photo: Reuters

The ratings agency, Fitch, has just downgraded 18 Spanish banks, following its downgrade of the country itself.

They warn that things could get worse, particularly for those exposed to real estate and the construction industry.

And the cost the Spanish government has to pay to borrow on the markets is now up well over 6.7% - higher than before the bank bailout was agreed, and the highest level since the Eurozone was founded.

That is perilously close to the level at which it's considered impossible to sustain and the level at which countries themselves, not just their banks, have to to turn to other countries and ask for help.

If there were anyone left who believed the bank bailout promise would actually change things, this is evidence that the fundamentals remain the same. Perhaps you wouldn't even be blamed for wondering if the deal to throw a lifeline to the Spanish financial system really actually happened.