cancel
Showing results for 
Search instead for 
Did you mean: 

France -Credit Rating

Community Veteran
Posts: 18,551
Thanks: 195
Registered: 12-08-2007

France -Credit Rating

Rumours that France is to have its credit rating downgraded are circulating:
Quote
Standard & Poor's are about to downgrade France's credit rating, sources including the French news agency AFP are reporting.
The euro fell on the currency markets amid the reports and stock markets across the world also declined.
Another source, Reuters, has said other eurozone countries are also at risk of a downgrade by the prominent ratings agency.

Credit Rating
It won't please the Frogs if it happens Wink
17 REPLIES
nadger
Rising Star
Posts: 4,498
Thanks: 46
Registered: 13-04-2007

Re: France -Credit Rating

Community Veteran
Posts: 18,551
Thanks: 195
Registered: 12-08-2007

Re: France -Credit Rating

If it happens the news will be announced after Wall Street closes at 10pm our time.
Community Veteran
Posts: 38,253
Thanks: 940
Fixes: 56
Registered: 15-06-2007

Re: France -Credit Rating

I winder if the French have a word for schadenfreude  Grin Grin
Community Veteran
Posts: 18,551
Thanks: 195
Registered: 12-08-2007

Re: France -Credit Rating

Would love to see the look on Sarkozy's face if it happens Smiley Enough to make him fall off his platform heels Grin
Community Veteran
Posts: 18,551
Thanks: 195
Registered: 12-08-2007

Re: France -Credit Rating

France has just confirmed that its rating has been downgraded. The Frogs will not be happy Smiley
What will this mean for the euro?  It can't help its survival and will put pressure on other members of the eurozone.
Community Veteran
Posts: 13,929
Thanks: 515
Fixes: 8
Registered: 01-08-2007

Re: France -Credit Rating

No idea artmo but I had to chuckle at the news when the frogs were slagging us off a few weeks back. It kind of serves them right really.
Mind you, in my mind if each country only spent what it could afford and wasn't so reliant on borrowing more and more money every year none of us would be in this mess at all.
I need a new signature... i'm bored of the old one!
Community Veteran
Posts: 3,826
Thanks: 44
Fixes: 1
Registered: 24-09-2008

Re: France -Credit Rating

Quote from: artmo
What will this mean for the euro? 

At a guess the Euro will continue to decline against the $ and £, the only reason I can see the £ currently getting stronger is Euro country folk getting nervous and transferring funds out of the Euro:- looking to the £ as a safety net. (since November the £ has improved in value against the SFr, Nok, AU$ and CA$ by between 4-6%, can see no other reason for it, the UK economic growth is “talked up” a lot, but very little proof at present.)
Was interested to see the Bundesbank? bond issue this last week went for negative interest rates (i.e every 100Euro put in you get 99.5 euro back.)
itsme
Grafter
Posts: 5,924
Thanks: 1
Registered: 07-04-2007

Re: France -Credit Rating

Think you find with the SFr the Swiss devalued it because it's too strong. Know that cigars are too expensive in the duty free at Geneva airport.
Community Veteran
Posts: 18,551
Thanks: 195
Registered: 12-08-2007

Re: France -Credit Rating

Quote from: journeys
[
Was interested to see the Bundesbank? bond issue this last week went for negative interest rates (i.e every 100Euro put in you get 99.5 euro back.)

Not only Germany.  This week a similar thing happened here Smiley We are seen as a safe currency in the present situation.
Community Veteran
Posts: 6,307
Thanks: 86
Fixes: 3
Registered: 08-01-2008

Re: France -Credit Rating

News at ten reporting other Eurozone countries also affected.
Call me 'w23'
At any given moment in the universe many things happen. Coincidence is a matter of how close these events are in space, time and relationship.
Opinions expressed in forum posts are those of the poster, others may have different views.
Community Veteran
Posts: 18,551
Thanks: 195
Registered: 12-08-2007

Re: France -Credit Rating

A further 8 including Italy and Spain. 
Community Veteran
Posts: 38,253
Thanks: 940
Fixes: 56
Registered: 15-06-2007

Re: France -Credit Rating

Quote
A string of eurozone countries have had their credit ratings downgraded in a mass blitz by agency Standard and Poor's.
France, Austria, Italy, Spain, Portugal, Slovakia, Malta, Slovenia and Cyprus have all been cut in a brutal round of downgrades.
France and Austria both now hold AA+ ratings, while Italy, formerly an A-rated country, holds a BBB+.
Spain will move down to an AA- rating, while Portugal moves to BB, Slovakia to A+ and Cyprus to BB+.
Austria, France, Malta, Slovakia, Slovenia, Cyprus, Italy, Spain and Portugal also had their long-term ratings lowered.
Only Germany, The Netherlands, Finland and Luxembourg kept their top-notch ratings in the cuts.
http://news.sky.com/home/business/article/16148669
and - from the breaking news banner
S&P says France could be downgraded again if government deviates from planned budgetary consolidation
Community Veteran
Posts: 18,551
Thanks: 195
Registered: 12-08-2007

Re: France -Credit Rating

A little more info on the situation:
Downgrade
Community Veteran
Posts: 38,253
Thanks: 940
Fixes: 56
Registered: 15-06-2007

Re: France -Credit Rating

http://www.standardandpoors.com/ratings/articles/en/us/?articleType=HTML&assetID=1245327294763
Quote
    In our view, the policy initiatives taken by European policymakers in recent weeks may be insufficient to fully address ongoing systemic stresses in the eurozone.
We are lowering our long-term ratings on nine eurozone sovereigns and affirming the ratings on seven.
The outlooks on our ratings on all but two of the 16 eurozone sovereigns are negative. The ratings on all 16 sovereigns have been removed from CreditWatch, where they were placed with negative implications on Dec. 5, 2011 (except for Cyprus, which was first placed on CreditWatch on Aug. 12, 2011).