Eurozone crisis live: Spain faces bond auction test as rescue looms 8.34am: Truly Astonishing. The spokesman for Greece's far-right Golden Dawn party threw several punches at a communist MP, and chucked water at another, during an appearance on Greek television last night. Ilias Kasidiaris chucked his water glass at Syriza's Rena Dourou during a live debate ahead of the June 17 elections, and then proceeded to lash out at the KKE's Liana Kanelli, as this footage shows. According to Greek newspaper Kathimerini, the police are now seeking to speak with Kasidiaris over the attack on the two female MPs. He is already facing accusations that he was an accomplice in the mugging of a student. He denies the charge. 8.21am: George Osborne also pours cold water on the suggestion that Britain should hold an immediate referendum on its membership of the European Union. But a vote could come, if Europe looks to take more sovereignty from member states. Asked whether Europe's move to close fiscal union (and the Treaty changes that would presumbaly need) would be a good time for a national vote on the EU, Osborne argues that this will only happen if there is a proposal for more transfer of powers from Britain to the EU. I think we have a very clear safeguard in the system now, which is - if there is any transfer of sovereigny from this country to Europe, there will be a referendum. 8.16am: More from George Osborne's interview on the Today Programme (see last post): the UK chancellor expresses solid support for the creation of a banking union across the eurozone. Britain, though, will not join it, and will demand protection the City, he adds. Osborne says the UK wants the euro to work, but..."there will have to be safeguards....to protect Britain's largest employer and Europe's biggest financial sector." On Spain, Osborne says he isn't directly involved in the negotiations, however: I am optimistic that people are working on a solution....and a solution is coming. He adds though that a Spanish rescue deal would not, itself, solve the eurocrisis. 8.12am: UK chancellor George Osborne is discussing the eurozone crisis on the Today Programme on Radio 4 now (you can listen here, or catch a replay later). Asked what he would do if granted the powers of a "benign dictator," Osborne says there are three things that need to happen in the eurozone: 1) an immediate recapitalisation of the Spanish banking sector 2) a new Greek government that is committed to Greece remaining in the eurozone and fulfilling its obligations 2) fundamental structural changes to the eurozone, including give the European Central Bank the powers enjoyed by other central banks (such as acting as a lender of last resort). 8.05am: New unemployment data released this morning has shown that France's jobless rate continues to climb, while in Switzerland the situation is much better. The French jobless rate rose to 10% in the first quarter of 2012, up from 9.8% in the last three months of 2011. In Switzerland, the jobless rate dropped to 3.0% on a seasonally unadjusted rate in May, down from 3.1% in April. 7.47am: Spain hopes to sell between €1bn and €2bn of debt today, with both 10-year bonds and shorter-dated ones available. The auction will show how much confidence the financial markets have in Spain's borrowing costs have been at worryingly high levels for weeks, prompting budget minister Cristobal Montoro to warn on Tuesday that the country is being "shut out" of the bond market. We'll soon find out if he's right.... The key things to watch out for are 1) how much is sold; 2) the yield (effectively the interest rate) demanded by investors; 3) how many bids are received; 4) How demand is split between short and long-term bonds. Brenda Kelly of CMC Markets suggests that Spanish banks could try to ensure a successful auction by buying the debt with money borrowed from the European Central Bank at low rates (through its LTRO programme - details here). Nicolas Spiro of Spiro Sovereign Strategy argues that if Spain can't get €2bn of debt away today then it's "game over." 7.34am: As we reported last night, Europe's single currency could swiftly unravel unless its leaders decide within weeks to centralise budget and tax policies in the eurozonem, and agree a strategy to pool responsibility for failing banks. Here's a flavour of today's front-page story on the eurocrisis: Sources familiar with the Spanish government's thinking said its negotiating position was that the fundamental quandary facing the eurozone was not Spain, but a European failure of leadership in persuading the financial markets that the euro would be defended at all costs. So Spain's goal is to get new funding for its banks, without signing up to a full bailout - and all the extra austerity measures, tough targets, and Troika assessments that would bring. And surely that will annoy Greece, Ireland and Portugal, who all took a bailout. As Gary Jenkins of Swordfish Research points out: It appears that Spain does not want a bailout in order to recapitalise its banks, they just want cash. And it also appears that there may be plans underway to give them pretty much exactly what they want, with numerous reports suggesting that officials are working on an idea for the EFSF/ESM to lend directly to the Spanish banking rescue fund (FROB) in order for them to on-lend to the banks, thus avoiding the embarrassment of the Spanish government itself receiving a bailout. But as our own Giles Tremlett explained yesterday, a deal is unlikely until the size of the black hole in Spain's banking sector is known. David Cameron is heading to Berlin for talks with Angela Merkel today. Photograph: Darren Hauck/REUTERS 7.30am: Good morning, and welcome to our rolling coverage of the eurozone financial crisis. And what a day we have ahead, with the future of the eurozone hanging in the balance. With speculation of a bailout rampant, Spain will hold an auction of government debt this morning. The sale is a crucial test of market confidence, at a time when Madrid is battling to receive help for its stricken banks, but resisting pressure for a full-scale bailout. David Cameron and Angela Merkel will hold talks over the crisis in Berlin today, with the British prime minister expected to tell the German chancellor that a proper plan to save the eurozone is now urgently needed. In the City, economists and traders are poised for the Bank of England's decision on interest rates and quantitative easing. The UK central bank could fire up the electronic printing presses again, or even cut borrowing costs. And if that wasn't enough, Ben Bernanke is testifying to a congressional committee today. The Federal Reseve chair will be quizzed on the state of the US economy, and might hint at new stimulus measures. Spain's bond auction: from 9am BST / 10am CEST • UK service sector PMI for May: 9.30am BST • David Cameron meeting Angela Merkel: all day • Bank of England decision on rate/QE: 12pm BST • Ben Bernanke testifies to the Joint Economic Committee 3pm BST / 10am EDT