Today’s news from two of the PIGS (i.e., Portugal, Ireland, Greece, Spain) is not good as credit spreads are widening rapidly in Portugal (with downgrades likely to follow) and the odds of Greece making it through to the conclusion of the joint EU/IMF talks in two weeks without a bailout grow slimmer by the hour, at least according to this report at Bloomberg.

Greece could activate a 45 billion- euro ($60 billion) emergency aid package led by the European Union before talks on the conditions for the loans conclude in two weeks time, Finance Minister George Papaconstantinou said.

Greek bonds slumped today as the talks began in Athens. The risk premium investors demand to hold Greek bonds over comparable German debt soared to 516 basis points, the highest in at least 12 years, on concern the cash-strapped nation may struggle to repay 8.5 billion-euros of bonds maturing May 19.

“I’m not saying that the government will ask for it,” Papaconstantinou told reporters after the first session of talks with officials from the euro region, the International Monetary Fund and the European Central Bank.

The negotiations will probably last two weeks and a final text on the outcome would be presented by May 15, he said. The talks are focusing on additional deficit-cutting measures Greece would have to accept as a condition for the funds, particularly after the first year payout of as much as 45 billion euros.

Clearly, at this point, the bond market wants fewer words and  more action, it no longer being a matter of if, but when, the bailout will be needed. Meanwhile, protests continue in Athens as some of the population still doesn’t seem to grasp the concept of not spending money you don’t have. Government workers are gearing up for another 24-hour strike to protest budget cuts required for the bailout, what has become a regular, monthly event.