Sunday, March 29, 2015

Fitch cuts Greece’s rating to CCC, 3 notches above default, on uncertainty over aid release. Markets price default probability at 79%.

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Fitch cuts 's rating to CCC, 3 notches above default, on uncertainty over aid release. http://reut.rs/1xH34W3 
 
(Reuters) – Ratings agency Fitch on Friday cut Greece’s credit rating to ‘CCC’ from ‘B’ saying lack of market access, tight liquidity and uncertainty over the timely release of aid from its official creditors are exerting pressure on government funding.
Fitch, Standard & Poor’s and Moody’s had all lifted Greece’s rating last year as the economy showed tentative signs of getting back on its feet after six-years of recession.
But the new leftist government’s standoff with its euro zone partners and the International Monetary Fund over reforms needed to resume remaining bailout funding have clouded the direction of future policy making, rendering the outlook uncertain.
“We expect that the government will survive the current liquidity squeeze without running arrears on debt obligations, but the heightened risks have led us to downgrade the ratings,” the agency said.
http://www.reuters.com/article/2015/03/27/us-greece-ratings-fitch-idUSKBN0MN2Q220150327

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will pay debts…this month at least. Markets price default probability at 79%. http://on.ft.com/1FZJ55P 
 

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