A Warning to Portugal as Spain Sells Bonds.

MADRID (Reuters) -- Yields at Spain's final debt auction of the year were higher than the rates at an equivalent sale a month ago, and analysts warned of tough times ahead in 2011 even as the country slashed its state deficit. Tuesday's auctions came shortly after Moody's, the ratings agency, put Portugal on review for a possible downgrade, almost a week after doing the same to Spain, and having cut Ireland by five notches last week. [ABSTRACT FROM AUTHOR]