“Rollover risk” will be a major theme in 2011 and Moody’s is getting an early start.  Bloomberg writes,

Spain had its Aa1 local and foreign currency government bond ratings placed on review for possible downgrade by Moody’s Investors Service.

The ratings company cited Spain’s “vulnerability to funding stress given its high refinancing needs in 2011,” according to a statement today.

Moody’s also sees for Spain a “potential further increase in the public debt ratio should the cost of bank recapitalization prove to be higher than expected so far.”

There are “increased concerns over the ability of the Spanish government to achieve the required sustainable and structural improvement in general government finances given the limits of central government control over the regional governments’ finances,” Moody’s said.

A picture is worth a thousand [128] billion words euros.