Who are the smartest and most heartless companies in the world? You bet, the banks. If you recall my article at the beginning of the year, I have explained the real ‘time bomb’ from sharp falling oil price is not just the looming future of the energy companies but the impact to the financial system, the […]
15 European Countries at the Mercy of S&P, the all time Celebrity
I wonder if it has become an obsession or fun game for Standard & Poor’s to make their downgrades at the worst possible time. The rating company, which downgraded the U.S. triple-A credit rating by one notch just after US debt ceiling was increased, warned it may carry out an unprecedented mass downgrade on the credit […]
Guernsey, IoM downgraded! The Puzzle of Credit Ratings
According to International Adviser, “Credit ratings agency Standard & Poor’s has downgraded Guernsey and the Isle of Man from AAA to AA+, outlook stable, owing to concerns over their external vulnerability and lack of monetary flexibility.” Patrick Tan from Legg Mason Asset Management once said: As we have learnt from the global financial crisis, “Rating […]
Spain Downgraded Again, Greece Default Almost Certain
After Fitch Ratings downgraded Spain on Oct. 7, Standard & Poor’s cut Spain’s credit rating to AA- last week, for the third time in three years. It appears more and more certain to me that Greece Default is inevitable. Although global stock markets have largely rallied last week and even Euro has rebounded sharply. The […]
Moody's cut the long-term debt ratings of Société Générale SA and Crédit Agricole SA
According to Wall Street Journal, Moody’s Investors Service has cut the long-term debt ratings of Société Générale SA and Crédit Agricole SA on Wednesday and kept BNP Paribas SA under review for a downgrade. European banks are under tremendous pressure now, and the downgrade will just make the funding of the banks even more difficult. […]
Japan’s sovereign credit rating downgraded to AA-
Japan’s government bonds fell after the nation’s sovereign credit rating was downgraded by Standard & Poor’s, the first cut since 2002. Benchmark 10-year bonds erased gains and the yen slid after the decision added to concerns Prime Minister Naoto Kan hasn’t done enough to curb the world’s largest debt load. Bonds had advanced earlier after […]