Spain's recession deepens.

Spanish preliminary Q4 GDP fell a greater-than-expected 0.7% on quarter, signalling that the country's recession is deepening after the economy shrank 0.3% in Q3. As the impact of more severe austerity took effect, GDP contracted 1.37% for the whole of 2012. In particular, a rise in VAT in September helped further undermine consumer spending. Spanish shares were -0.2% at midday in Europe