European markets are not doing so well these days. The result is coming from 2 significant economies that have just melted down completely. That is Greece and Spain. Both of these countries have received significant bailouts and the Greece bailouts appear to be the first wave of problems as the the IMF has dumped money into Greece and most likely won't see any of that back. In Spain the banks there all seem to be on the verge of collapse, the real estate sector is being just demolished and unemployment is well over 25% with 50% of people under 24 are without a job.
Problems in Greece
Greece is a big problem as politicians consider leaving the Euro currency. This would be essentially stealing money but nobody can blame Greece for being allowed into the EU currency. The people there don't want bailout money yet it was needed to keep the country floating up until now. However even if they leave the Euro, what currency will replace it? Surely their currency would devalue immediately and be worth almost nothing. The biggest problem there is there is no money to pay for benefits people come to expect there. Unfortunately something has to give and people will have to make some sacrifices.
Spain economic troubles
Property values in Spain are dropping fast. Over the whole country, there are plenty of cities that are on the verge of being completely abandoned because things are that bad. People are moving to the larger capitals hoping to find some work or at least have an opportunity to apply for a job. The Spanish banks have been tested and appear that some of the larger banks are in risk of a complete collapse. Last, just add in the highest unemployment rate in Europe and you have a massive disaster. The people of Spain expect a lot of worker benefits and this has keep out companies like Microsoft and Google from having significant operations there. Entrepreneurs are simply paralyzed by workers.
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