Spain’s mortgage-backed sector cannot seem to catch a break.

In a recent report, Standard & Poor’s said that severe delinquencies among residential mortgage-backeds tracked by the agency hit a historic peak of 5.38%. And the sustained economic crisis is not through with mortgages yet — S&P expects loan quality to further deteriorate amid sky high unemployment. With more than a quarter of the workforce on the dole, the jobless rate is stoking delinquencies. This, in turn, could feed into more downgrades.

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