It has been long since; it is being assumed that Spain will be demanding help to maintain its borrowing cost at a low level. The reports are still hitting the markets.

Decision made by Moody on Tuesday to keep the rating of the credit on Spain, definitely aided in supporting the country. However, investors believe that such help will not help the country last for long and soon it will be seeking help to Europe's bailout fund, which is a mandatory condition for European Central Bank to help purchase its bond in market.

On the other hand, Spanish government has made a few stern measures so as to help cope up with its shortfalls and at the same time convince investors that in any case it will not be looking out for monetary help from outside.

ECB has affirmed that it will help out all those European countries, which are currently facing financial crisis and help them reduce their borrowing costs but for that they will have to opt for bailout funds.

"The biggest catalyst for equity markets was mounting speculation that Spain was close to finalising the terms of a formal bailout request from the EU that would allow the ECB to start buying its bonds," said Cameron Peacock, market analyst at IG Markets.