Greece downgraded 2 notches

Discussion in 'Europe' started by ekrem, Apr 9, 2010.

  1. ekrem
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    ekrem VIP Member

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    Fitch, one of the world's big three ratings agencies, lowered Greece's rating by two notches to BBB- and said the outlook on the country remains negative.
    (....)
    The Greek economy is forecast to contract by 2% this year after a similar fall in 2009, but some economists now expect the decline to be sharper.
    (....)
    Fitch's comments sent Greek 10-year bonds lower, pushing their yield to 7.20% from 7.12%. This rate, almost twice as much as Britain's, makes Greek funding practically unsustainable, analysts have said.

    "Two notches is quite a downgrade, but it is potentially going to be junk, which would be rather upsetting," said Elisabeth Afseth, of Evolution Securities.

    Link
    Crisis-hit Greece downgraded by Fitch | Business | The Guardian
     
    Last edited: Apr 9, 2010

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