Spainish government

Caretaker Prime Minister Mariano Rajoy welcomed the imminent formation of a new Spanish government, after the opposition Socialists agreed to end a 10-month political impasse and let him rule for a second term. Spanish government bonds rose.

King Felipe begins two days of consultations with party leaders in Madrid Monday, the start of a process that should see Mr. Rajoy’s People’s Party back in power within days. A first confidence vote may go ahead on Oct. 27 with a second round in which Socialists abstain taking place two days later.