Arab Today, arab today germany\s triplea credit rating in danger
Last Updated : GMT 10:28:29
Arab Today, arab today
Arab Today, arab today

Germany\'s triple-A credit rating in danger

Arab Today, arab today

Arab Today, arab today Germany\'s triple-A credit rating in danger

Berlin - UPI

Germany\'s triple-A credit rating was threatened Tuesday amid fears it will be pulled down by Spain, which analysts said was near needing a full-scale bailout. The Moody\'s Investors Service credit-ratings firm said Germany would incur enormous liabilities in a bailout of Spain -- and its banks have \"sizable exposures\" in that country, as well as Italy, which is also teetering. Moody\'s also cited the huge potential costs to Germany if the eurozone broke up, amid report it was increasingly likely Greece would leave the single currency -- after the German news weekly Der Spiegel said Athens\' failure to stick to its austerity program would lead to the International Monetary Fund cutting off support. The report said Greece could default as early as September. \"The material risk of a Greek exit from the euro area exposes core countries such as Germany to a risk of shock that is not commensurate with a stable outlook,\" Moody\'s said in lowering its outlook. The Spanish newspaper El Confidencial said the administration of Spanish Prime Minister Mariano Rajoy was considering \"putting on the table\" Spain\'s possible withdrawal from the euro and its return to the peseta currency. \"We would have our own currency again and restore competitiveness,\" a government source told the newspaper. \"It would have some disastrous consequences at first, but we would regain control over our own policies and we would escape from the crisis sooner.\" Spain is the 17-nation eurozone\'s fourth-largest economy, after Germany, France and Italy. Moody\'s also shifted to negative its outlooks on triple-A Netherlands and Luxembourg for the same reasons it dimmed its German outlook. Only Finland -- with a \"unique credit profile\" and more economic isolation than the other triple-A countries -- maintained a stable Moody\'s rating. The two other principal ratings firms, Fitch Ratings and Standard & Poor\'s, both rate Germany triple-A with a stable outlook. Germany\'s finance ministry said the eurozone risks Moody\'s mentioned were \"not new\" and said, \"The very sound state of Germany\'s own economy and public finances remains unchanged.\" German Finance Minister Wolfgang Schaeuble said his country would continue to play the role of the \"eurozone\'s anchor of stability.\" Schaeuble was to meet with Spanish Minister of Economy and Competitiveness Luis de Guindos in Berlin Tuesday. De Guindos was adamant Monday his country would not need a bailout beyond a recent $120 billion bank rescue. But Jonathan Loynes, chief European economist of the Capital Economics research firm, told the British newspaper The Guardian, \"It looks almost certain that Spain will need a sovereign bailout as well as a banking package.\" Cantor Index market strategist David Buik wrote: \"There is momentum behind the thinking that Spain will require an official sovereign bailout, which may turn out to be hundreds of billions of euros. Greece\'s financial problems look like a vicarage tea party in comparison to Spain\'s fiscal black hole.\" Analysts estimate a sovereign bailout could reach or exceed $485 billion. Greece\'s was about $158 billion. The existing European Union bailout fund, the European Financial Stability Facility, is down to about $194 billion after bailing out Greece, Ireland, Portugal, Cyprus and Spain\'s banks. The new permanent European Stability Mechanism will have more than $606 billion, but faces a challenge in Germany\'s Federal Constitutional Court that could scuttle the fund in September. Andrew Roberts, Royal Bank of Scotland PLC\'s head of European rates strategy, told the British newspaper The Daily Telegraph, \"We are fast approaching the endgame.\" Spanish borrowing costs rose to modern-era highs Monday, with the two-year bond yield jumping almost a percentage point to 6.74 percent before closing at 6.53 percent. Yields, which move inversely to prices and reflect the cost of borrowing, also set a fresh euro-era high on Spanish 10-year bonds, which reached 7.56 percent. Spain\'s regional governments lined up for internal rescues Tuesday, with Catalonia, which has an economy the size of Portugal, preparing a $4.3 billion bailout request following moves by Valencia and Murcia, the Telegraph reported. Spain\'s 17 autonomous regions have an estimated $19.2 billion in debts to refinance by the end of the year, with $7.25 billion in Catalonia. The Bank of Spain, meanwhile, confirmed Monday Spain\'s double-dip recession was getting worse. The country\'s economy shrank 0.4 percent in the second quarter after shrinking 0.3 percent in the first three months of the year, the central bank said in its monthly report.

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today germany\s triplea credit rating in danger Arab Today, arab today germany\s triplea credit rating in danger

 



Arab Today, arab today
Arab Today, arab today Mohamed Bahari prepares new collection for spring 2017

GMT 06:15 2017 Monday ,27 February

Mohamed Bahari prepares new collection for spring 2017
Arab Today, arab today As Olympics loom, China plunges into snow biz

GMT 10:08 2017 Tuesday ,28 February

As Olympics loom, China plunges into snow biz
Arab Today, arab today Sheds light on major steps in 12-year career

GMT 06:07 2017 Monday ,27 February

Sheds light on major steps in 12-year career
Arab Today, arab today UN envoy sets out framework

GMT 07:25 2017 Monday ,27 February

UN envoy sets out framework
Arab Today, arab today Kalam Nawaem made a difference in social issues

GMT 06:43 2017 Tuesday ,28 February

Kalam Nawaem made a difference in social issues
View News in Arabic - Business: أخبار الشركات
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Parliament considers solutions to overpopulation

GMT 20:27 2017 Monday ,27 February

Parliament considers solutions to overpopulation
Arab Today, arab today Penguins in the age of dinos

GMT 11:44 2017 Saturday ,25 February

Penguins in the age of dinos
Arab Today, arab today Pluto's unruly moons

GMT 06:31 2015 Thursday ,04 June

Pluto's unruly moons
Arab Today, arab today 'Constructive' Vauxhall talk with union

GMT 08:54 2017 Saturday ,25 February

'Constructive' Vauxhall talk with union
Arab Today, arab today Tesla back into red but revenue grows

GMT 07:27 2017 Thursday ,23 February

Tesla back into red but revenue grows
Arab Today, arab today Aspires present the story of Egypt’s first president

GMT 06:18 2017 Sunday ,26 February

Aspires present the story of Egypt’s first president
Arab Today, arab today Ex-yoga missionary unleashes rage

GMT 12:16 2017 Thursday ,23 February

Ex-yoga missionary unleashes rage

GMT 06:42 2017 Saturday ,25 February

Reasons for the delay 'On the Stairs of Servants'

GMT 05:14 2017 Thursday ,23 February

UK appoints 1st Scotland Yard chief in 188 years

GMT 18:23 2017 Friday ,24 February

Fadi explains secrets of  Nancy Ajram's newlook

GMT 10:28 2017 Wednesday ,22 February

Milan laughs while Rome cries

GMT 19:45 2017 Monday ,20 February

Sarah Belamesh designs antiques of "ceramic"

GMT 10:51 2017 Saturday ,25 February

Pigs with edited genes show resistance

GMT 18:28 2017 Saturday ,25 February

Tourist guide explains types of tourism

GMT 13:12 2015 Saturday ,09 May

Sheikh Sultan opens Sharjah Centre

GMT 06:28 2017 Tuesday ,28 February

Dumbphones survive rise of the smartphone

GMT 22:42 2017 Thursday ,23 February

Nasima Gamei revives heritage in jewelries
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday