The difference between the cost of Spanish and German bonds has hit a new record on fears about Spain's debt.
German government bond yields fell to 1.34%, while Spain's rose 0.07 percentage points to 6.55%.
Yields reflect how much investors demand in return for holding a bond, with a higher yield an indication of the perceived risk.
European stock markets were also unsettled, opening with falls of more than 1%.
Italian bond yields also rose above 6% ahead of a new bond issue by the Italian government.
Later on Wednesday, the European Commission will give its member countries advice to help them meet growth targets.
It will be the second annual set of recommendations, which are designed to guide members' economic policies for the coming year.
The guidance uses the EU's growth strategy (called Europe 2020) as its starting point.
The country-specific recommendations (CSRs) will include in-depth reviews of the economies of 12 of the 27 member countries, including the UK's.
Last week, the International Monetary Fund (IMF) said the UK's continuing economic weakness meant authorities should consider more quantitative easing and even cutting interest rates.
Its annual look at the UK economy endorsed the government's deficit cutting plan, saying it was essential, but added that if growth failed to pick up, the government would have to consider delaying cuts.
The IMF also stressed the risks to the UK of the eurozone crisis.
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