Markets shrug off S&P downgrades, focus on Greece
January 13th, 201208:59 PST LONDON, United Kingdom –
European markets responded calmly to Standard & Poor’s decision to cut the credit ratings of a number of euro countries as France managed to tap bond market investors Monday despite the loss of its cherished triple-A rating.
The downgrades, which were based on concerns over Europe’s ability to handle its two-year debt crisis and the lack of economic growth, had been anticipated for weeks so the market impact was muted, especially since the U.S. is on holiday for Martin Luther King Jr. Day.
Europe is set to remain the focus of attention all week as a number of bond auctions are due and Greece tries to clinch a debt deal with its private creditors.
Tags: Markets, Markets Shrug