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World Markets Fall As Optimism Over Spain's Bank Bailout Fades

Traders watch electronic boards at the stock exchange in Madrid on June 11.
Stock prices fell in Asia and were mixed in Europe as initial enthusiasm faded among investors over a 100 billion-euro ($125 billion) bailout for Spain's ailing banks.

Stocks surged around the world on June 11 and the value of the euro strengthened in a burst of optimism.

But the rallies proved to be short-lived, with losses by the end of trading in Madrid and on Wall Street on June 11.

Analysts say investors are looking ahead to weekend elections in Greece, where radical parties have vowed to abandon austerity pledges made by Athens in order to secure international bailouts.

Such a step could lead to a debt default and force Greece out of the eurozone -- a development, experts say, that could weaken the euro and trigger chaos on the global financial system.

Based on reporting by Reuters, AP, and AFP