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Shares, Euro Fall After Spain Formally Requests Bank Bailout

European shares and the value of the euro have fallen after Spain formally asked for a rescue loan of up to 100 billion euros from its eurozone partners to save its ailing bank system.

On June 25, share prices fell on markets in Madrid, London, Paris, and Athens, while the exchange value of the euro slipped to below $1.25.

The declines came after Spain's government sent a letter to Eurogroup president Jean-Claude Juncker officially requesting financial assistance.

Reports by independent consultants have said stricken Spanish banks could need up to 62 billion euros to survive a three-year financial slump.

The eurozone earlier indicated it was prepared to provide up to 100 billion euros to banks in Spain, which is suffering from a prolonged economic downturn and unemployment of nearly 25 percent.

Based on reporting by AFP, AP, and dpa