sp downgrade of 24 italian banks ripples
Last Updated : GMT 20:41:34
Arab Today, arab today
Arab Today, arab today

S&P downgrade of 24 Italian banks ripples

Arab Today, arab today

Arab Today, arab today S&P downgrade of 24 Italian banks ripples

Roma - Xinhua

Ratings firm Standard & Poor\'s on Tuesday downgraded two-dozen Italian banks and financial institutions, in a latest blow against the Italian economy and sparking a new round of doubts about Italy\'s chances to survive the ongoing financial crisis. S&P cited renewed market tensions and \"dimming\" economic growth prospects as the reason behind the latest downgrades, the fourth by the U.S.-based rating agency in Italy in less than a month. The wave of downgrades started on Sept. 19 when the company downgraded Italy\'s sovereign debt. A few days later, it downgraded the ratings for six Italian banks, and then soon after, for 11 city and regional governments. Before Tuesday, the two most recent downgrades were mostly technical, because it is unusual for a bank or a local government entity to maintain a higher credit rating than the country it is in. But the fresh rating cuts for two-dozen Italian banks and financial institutions were not related to the Sept. 19 downgrade of the country\'s sovereign debt, and are thus more problematic. Commenting on Tuesday\'s downgrades, Italian banks complained that the move might have been unwarranted. \"There was little warning that this would happen and it is difficult to imagine that the underlying fundamentals of 24 Italian banks changed so quickly,\" said Raffaelle Saier, an analyst with ABS Securities in Milan, which was not directly affected by the downgrade. With the lower ratings, the 24 banks would face greater obstacles to raise capital on debt markets. A likely consequence is that they will further tighten the purse strings on credit for Italian consumers or companies. If that happens, it is likely to have a ripple effect across the Italian economy, from housing sales to long-term corporate investments. Meanwhile, S&P also lowered its Banking Industry Country Risk Assessment for Italy to Group 3 from Group 2. Group 3 is the lowest investment grade rating. Most of the country\'s biggest banks were spared, however. UniCredit, the country\'s largest bank, was not downgraded and it remains the only large Italian financial institution which has not had its credit rating cut since Sept. 19. The biggest bank that saw its rating cut was Banca Monte dei Paschi di Siena, Italy\'s fourth leading bank, which was reduced by one notch to BBB+, as S&P said its exposure to Italian government debt would make it more difficult for the bank to borrow money at low rates. Italian stock exchange witnessed a mixed response to the S&P rating cuts. Stocks dipped late in the trading day after rumors of the news spread, but bounced back in the final minutes of the session to close up 0.35 percent higher on the day. But Italian banking stocks suffered in after-hours trading and were likely to open Wednesday\'s session in the red, analysts said. Meanwhile, the yield on Italy\'s 10-year bond rose by 7 basis points to 5.867 percent, amidst growing concerns over Italy\'s ability to avoid debt problems further down the line. The figure is the highest since Aug. 8, before the European Central Bank starting buying Italian bonds in order to keep borrowing costs down.  

arabstoday
arabstoday

GMT 11:50 2017 Tuesday ,21 November

European stocks shrug off Germany's political woes

GMT 03:59 2017 Tuesday ,21 November

Weekly inflation decreases by 0.88%

GMT 23:50 2017 Monday ,20 November

Bahrain Bourse daily trading performance

GMT 14:54 2017 Sunday ,19 November

Bahrain Bourse daily trading performance

GMT 03:16 2017 Saturday ,18 November

Asian markets head for positive end to volatile week

GMT 11:57 2017 Friday ,17 November

US stocks boosted by solid Wal-Mart, Cisco earnings

GMT 06:51 2017 Friday ,17 November

Bahrain Bourse daily trading performance

GMT 03:57 2017 Thursday ,16 November

Stock markets retreat as oil slides
Arab Today, arab today
Arab Today, arab today

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*

sp downgrade of 24 italian banks ripples sp downgrade of 24 italian banks ripples

 



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*

sp downgrade of 24 italian banks ripples sp downgrade of 24 italian banks ripples

 



Arab Today, arab today
Arab Today, arab today Jordanian woman reveals her project

GMT 00:46 2017 Saturday ,11 November

Jordanian woman reveals her project
Arab Today, arab today Visit Jamaica for more than just sun

GMT 09:45 2017 Tuesday ,21 November

Visit Jamaica for more than just sun
Arab Today, arab today Keep kids busy at Thanksgiving gatherings

GMT 11:14 2017 Friday ,10 November

Keep kids busy at Thanksgiving gatherings
Arab Today, arab today UN warns of conflict in Gaza

GMT 08:39 2017 Tuesday ,21 November

UN warns of conflict in Gaza
Arab Today, arab today Missouri problem mirrors woes

GMT 06:46 2017 Tuesday ,21 November

Missouri problem mirrors woes
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Australian academic's book pulled

GMT 15:20 2017 Monday ,13 November

Australian academic's book pulled
Arab Today, arab today May under Brexit pressure at EU reform summit

GMT 02:14 2017 Saturday ,18 November

May under Brexit pressure at EU reform summit
Arab Today, arab today Delhi half-marathon to go ahead

GMT 03:51 2017 Saturday ,18 November

Delhi half-marathon to go ahead
Arab Today, arab today The history of solar eclipses

GMT 05:16 2017 Sunday ,20 August

The history of solar eclipses
Arab Today, arab today VW says will invest over 34bn euros

GMT 07:19 2017 Tuesday ,21 November

VW says will invest over 34bn euros
Arab Today, arab today Driverless, electric future just round

GMT 02:45 2017 Monday ,20 November

Driverless, electric future just round
Arab Today, arab today Fedra happy for “Between Two Worlds” success

GMT 09:23 2017 Saturday ,18 November

Fedra happy for “Between Two Worlds” success
Arab Today, arab today paObama climate envoy slams Trump's rejection

GMT 16:04 2017 Friday ,17 November

paObama climate envoy slams Trump's rejection

GMT 12:15 2017 Friday ,17 November

Mona Abdel Ghany increased artistic activities

GMT 11:15 2017 Thursday ,16 November

Angola oil boss sacked by father's protege

GMT 18:41 2017 Friday ,20 October

Designer Aql Faqih aspires to innovation

GMT 11:38 2017 Wednesday ,15 November

Unloved vultures fight for their survival

GMT 11:49 2017 Thursday ,17 August

Egyptian artist presents new collection of designs

GMT 00:54 2017 Monday ,20 November

Mideast in danger as London explores

GMT 03:12 2017 Saturday ,18 November

Prince's vision spurs new Cornwall village

GMT 17:12 2017 Monday ,07 August

Al-Shawaifi reveals secrets of total solar eclipse

GMT 16:53 2017 Tuesday ,05 September

Youssra depended on colored foam
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