Moody's Cuts Rating of 6 European Nations

Britain, France warned that triple-A is in danger
By Rob Quinn,  Newser Staff
Posted Feb 14, 2012 1:28 AM CST
Moody's Cuts Rating of 6 European Nations
France has kept its triple-A rating with Moody's, but the agency has revised its outlook to 'negative.'   (Getty Images)

Moody's has followed fellow ratings agency Standard & Poor's lead with a mass downgrading of European credit ratings. Spain, Italy, Portugal, Malta, Slovakia, and Slovenia—all of whose ratings were cut by S&P last month—were downgraded a notch. The agency also revised its outlook on France and Britain's triple-A rating to "negative," Bloomberg reports.

Moody's said the downgrades were triggered by "uncertainty over the euro area’s prospects for institutional reform of its fiscal and economic framework," and a weak economic outlook that threatens "the implementation of domestic austerity programs and the structural reforms that are needed to promote competitiveness." Moody's is alone among ratings agencies in downgrading its outlook for Britain. Although it was last to downgrade Spain and Portugal, it now grades them lower than its rivals, the Wall Street Journal notes. (More Moody's stories.)

Get the news faster.
Tap to install our app.
Install the Newser News app
in two easy steps:
1. Tap in your navigation bar.
2. Tap to Add to Home Screen.