There are many signs that the austerity measures have had positive effects on the
credibility of Spain to the rest of the world. As previously mentioned, interest rates on
Treasuries have decreased by almost 460 basis points since July 2012, and are only
trading at a 30 basis point premium to those of the United States.55 International
investors have begun to take larger positions in Spanish companies,56 as the Spanish stock
market is up 68% from a low in April 2012 of 6,065 to 10,205 in April 2014.57 In
addition, Foreign Direct Investment increased 5% from 2012 to 2013, suggesting a
willingness of foreign investors to take large positions in Spanish companies. All three
pieces of data seem to suggest that the austerity measures have been successful in
creating a renewed sense of confidence in the Spanish economy