Ireland’s rating will probably be raised for the second time in less than six months by Moody’s Investors Service as the economy stabilises and concern that the eurozone may be under threat eases.

Bankia, the fourth largest bank in Spain, could get less than the €19 billion in aid it has asked for, two sources said, prolonging uncertainty surrounding a rescue that has added to fears that Spain itself would need a bailout.

FRANCE and Germany agreed yesterday to stop arguing in public over whether the European Central Bank should do more to rescue the eurozone from a deepening sovereign debt crisis.

GERMAN retail sales fell 1.8% in November, the biggest drop in eight months, evidence that an export-led economic recovery in Europe’s largest economy has yet to bolster consumer spending.