ATHENS (Reuters) - Standard & Poor's raised Greece's credit rating to low-speculative grade on Wednesday, lifting it out of default territory as expected, after Athens completed the biggest sovereign debt restructuring in financial history.
ATHENS (Reuters) - Standard & Poor's raised Greece's credit rating to low-speculative grade on Wednesday, lifting it out of default territory as expected, after Athens completed the biggest sovereign debt restructuring in financial history. "While the exchange has, in our view, alleviated near-term funding pressures, Greece's sovereign debt burden remains high," S&P warned as it raised the credit rating to CCC, with a stable outlook. The rating firm warned that the recession and a May 6 general election were posing risks to fiscal adjustments needed to further cut Greece's debt. ...
ATHENS (Reuters) - Fitch on Friday cut Greece's rating to "restricted default" over its debt swap deal, as expected, becoming the third of the three major rating agencies to slash Greece into default territory. Fitch said in a statement it would upgrade Greece's rating once the debt exchange was completed and the new securities have been issued, adding that the new rating was likely to be low speculative grade. (Reporting by Ingrid Melander)
Standard & Poor's agency raised Greece's credit rating out of default territory on Wednesday, following structural changes by which nation slashed its debt by one-third. The country remains in the junk category with a CCC rating.
By FXstreet:Coming off of a 7-day rally, the euro climbed to its strongest level against the greenback since May 1st today in Asia-Pacific trade, as markets appear to be somewhat encouraged on signs of progress in the U.S. "Fiscal Cliff" negotiations, lifting risk sentiment. The EUR/USD has so far risen to as high as 1.3255 and last trades around 1.3245, up 0.2% on the day and up 2.4% heading into year-end.
Marc Chandler submits:The Depository Trust and Clearing Corp. provides a central register for credit default. A recent report indicated that there are about $5 bln of outstanding Greek sovereign CDS. Greek debt in dollar terms is about $483 bln, meaning the CDS covers about 1% of Greece's sovereign debt. The size of the sovereign CDS market is much smaller than one might expect. Consider Italy: DTCC estimates its sovereign CDS market is about $25 bln. The outstanding debt is around $2.3 trillion.
Less than a day ago ECB president Mario Draghi was bragging "Credit Crunch Averted" noting the Euro's first weekly gain in five-weeks. Unfortunately for Draghi, there was still one day left in the week.
Greece Bank Creditor Group Says Talks ‘Paused for Reflection’