The rumoured downgrade of France's AAA rating is leading trends on Twitter in France, followed by #ToiAussiMetsAAAdansUneChanson and #S&P.
The rumoured downgrade of France’s AAA rating is leading trends on Twitter in France, followed by #ToiAussiMetsAAAdansUneChanson and
Rumours have been growing this afternoon that S&P will downgrade France’s sovereign debt rating, while leaving Germany’s untouched.
This would pose a huge challenge to the attempts by leaders of the eurozone’s two biggest economies to agree a deal for bailing out peripheral eurozone members such as Greece.
Any downgrade to France’s rating could make it more expensive to fund tools such as the EFSF, with the danger that Germany is forced to carry en even bigger share of the burden of bailing out poorer eurozone economies.
Greece today ran into a roadblock as discussions with private sector bondholders collapsed, throwing further doubt on its ability to access the next tranche of loans from the troika that is the IMF, European Commission and ECB.