MORNING BID EUROPE-Spanish blame-game

* A look at the day ahead from European Economics and Politics Editor Mark John and EMEA Markets Editor Mike Dolan. The views expressed are their own.

LONDON, April 27 (Reuters) - Spanish voters will have to go to the polls again in June in a re-run of the inconclusive December election after a final round of talks between the king and political parties failed to broker a coalition deal last night. It (Other OTC: ITGL - news) 's far from clear whether even a new vote will help break the impasse, with polls showing support for the main parties broadly where it was late last year and the differences between them -- on the economy, Catalonia -- as wide as ever. Party leaders have for weeks been blaming each other for the stalemate, suggesting they were never really serious about solving it. The question now is to what extent it all starts taking its toll on the EU's fifth-biggest economy if Spain remains without a government for many more months.

A meeting of euro zone finance ministers tentatively set for tomorrow will now not happen, it emerged last night, underlining that major differences remain between Athens and its lenders on bailout targets. A source told us Greek Prime Minister Alexis Tsipras will seek a summit of European leaders to make sure funds from the bailout package can be released in time for it to make debt repayments due this summer.

An intriguing tale from Germany, where government sources confirmed that the head of the BND foreign intelligence agency will be removed from his post two years early. Details on why Gerhard Schindler is being replaced right now remain sketchy. Schindler looked to have weathered a storm that blew up a year ago when it emerged that the BND had gone against German interests and spied on European partners at the request of the U.S (Other OTC: UBGXF - news) . National Security Agency (NSA). More insight is due to filter out today.

MARKETS AT 0645 GMT

As markets await the Fed/BOJ one-two tonight and tomorrow morning, the deluge of corporate earnings dominates. Apple (LSE: 0R2V.L - news) 's sour update and first ever drop in quarterly iPhone sales saw its shares drop 7 pct after the bell, dragging S&P500 futures down them and sending a shiver through the tech sector and Asia markets from Tokyo to Taiwan (Taiwan OTC: 6549.TWO - news) overnight. Twitter (Xetra: A1W6XZ - news) added to the gloom and its stock lost up to 10 pct after lousy earnings. In banking, Barclays (LSE: BARC.L - news) missed already low expectations for first quarter financials - although its shares look to be holding up into the open in Europe. Santander's Brazil-related woes are seen more negatively in early indications. All of which underlines how the broad earnings picture for corporate Europe and America is pretty poor. Although much of the financial world has stabilized since Q1, the Fed will be in no rush to resume rate hikes in this environment and markets remain skeptical of even a June move. Modest losses on Asia bourses overall look to be mirrored in Europe. The dollar index and Treasury yields are lower this am, but the latter has been creeping back up to March highs - as have German bund yields, mindful of the looming anniversary of last year's sharp selloff. Spain's return to the polls in June does not seem to have had a major impact on Spanish debt or equity prices yet. The big data point of the day will be UK GDP, the first of the G7 to report Q1 and expected at 0.4 pct. Brazil also decides on interest rates later, but no move is expected amid all the political uncertainty there.

Several leading banks have posted a fall in profits and technology stocks may come under pressure after Apple reported its first-ever decline in iPhone sales. In the banking sector, Barclays, Santander and SEB (LSE: 0MGS.L - news) all reported lower profits. Adidas and Delhaize could do better after posting decent numbers and upbeat outlooks.

Upcoming events/data/ themes for market reports on Wednesday:

- Monetary Authority of Singapore macro review

- NZ March trade

- Australia Q1 inflation

- European corp events: Santander, Peugeot (Other OTC: PUGOF - news) , GlaxoSmithKline (Other OTC: GLAXF - news) , Delhaize, Deutsche Boerse (LSE: 0H3T.L - news) , STMicro, Iberdrola (Amsterdam: ID6.AS - news) , Antofagasta (Other OTC: ANFGF - news) , Standard Life (LSE: SL.L - news) , Norsk Hydro (LSE: NHY.L - news) , Cap Gemini (Swiss: CAP.SW - news) , Barclays, Total (Euronext: FP.NX - news) , LSE, Assa Abloy (LSE: 0H6U.L - news)

- France April consumer confidence

- Italy April biz/consumer confidence

- EZ March M3, credit

- Spain March retail sales

- Germany auctions 30-year bonds

- UK Q1 GDP, April CBI distributive trades

- Sweden govt bond auction, April biz/consumer sentiment

- Georgia rate decision

- US Q1 earnings: Boeing (NYSE: BA - news) , Facebook (NasdaqGS: FB - news) , Boston Scientific, State Street, PayPal, Goodyear, Texas Instruments (Sao Paolo: TEXA34F.SA - news) , Comcast, Garmin (NasdaqGS: GRMN - news) , Nasdaq (NasdaqGS: NDAQ - news) , ADT

- US March pending home sales

- Brazil rate decision

- Mexico March jobless

- FOMC decision and statement (Editing by Sonya Hepinstall)