Spain's political deadlock shows no signs of breaking

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Spain's political deadlock shows no signs of breaking
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The optimistic consumer outlook was mostly recorded before U.S.-China trade deliberations soured earlier this month.

Sanchez's party PSOE won April's election but without securing a majority.Pedro Sanchez's attempts to form a stable government in Spain took a blow this week.

The acting prime minister and the country' Socialist party leader was hoping to appoint Miquel Iceta, the socialists' leader in Catalonia, to Spain's senate. But in a surprising move, Catalan separatists voted against it on Thursday. Iceta's selection was supposed to pave the way for PSOE, the Spanish Socialist Workers' Party, to form a government with a Catalan separatist party.

However, the ongoing trial of 12 Catalan separatist leaders, for their role in the failed independence bid back in 2017, along with disputes among separatist parties resulted in pro-independence parties rejecting the appointment. It's likely that Sanchez will have until July to form a coalition government before Parliament votes on who will become prime minister.

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