S&P downgrades France and Austria, Among Others

[Buddha]

http://www.ft.com/cms/s/0/78bf6fb4-3...44feabdc0.html

The eurozone debt crisis returned with a vengeance on Friday as Standard & Poor’s, the credit rating agency, downgraded France and Austria – two of the currency zone’s six triple A rated countries – as well as seven nations not in that top tier, among them Italy and Spain.

S&P, under political fire since it announced a review or eurozone debt in December, gave 14 of 16 countries – including France, Italy and Spain – a negative outlook, which it said meant a one-in-three chance for each country of a further downgrade this year or next.

The agency downgraded France and Austria by one notch to double A plus, while it cut Italy Spain and Portugal by two notches. Ireland held its rating.

“It is not good news ... but it is not a catastrophe,” said François Baroin, France’s finance minister. “It is not the ratings agencies that dictate the policies of France.”

Sure isn't Mr. Baroin

[JohnWood]

Like Max Keiser said..downgrades increase volatility. And hence increase profits for the banks. It is all about the banks..

[osoab]

Priced in.

[Buddha]

Priced in.

Yep, other wise it would be like one standing out in the rain and claiming it isn't because the weather report has not mentioned it yet.

It isn't rain, tough it is some other liquid substance.

[PatColo]

'France downgrade well-deserved disaster for Sarkozy' - YouTube

Uploaded by RussiaToday on Jan 13, 2012
France's prized triple-A credit rating could be about to be cut, according to a senior Eurozone source. The speculation that Standard and Poor's might downgrade the country's status has sent world markets plunging - after an optimistic start to the year. Patrick Young, from investment firm DV Advisors, says that the downgrade has been a long time coming, and is disastrous news for the Euro...