While you were eating Turkey on Thanksgiving, Fitch Rating downgraded Portugal to JUNK, from BBB- to BB+, with outlook negative.
Portugal's 10-year yield has surged past 10% to 12.362% this morning on the news.
Now that each and every one of the PIIGS is in full-blown crisis/collapse mode, perhaps we can turn our focus to the big guys who are the next dominos- namely France, The UK, and the US
The Doc's still waiting for his acronym to catch on.
FUK US PIIGS
Fitch Rating downgraded this Thursday Portugal’s rating from ‘BBB-’ to ‘BB+’ keeping a negative outlook citing fiscal imbalances, high indebtedness and adverse outlook.
The rating agency also lowered Portugal’s growth forecasts expecting gross domestic product to contract 3% in 2012 in light of the worsened European outlook. Besides this, Fitch says the state-owned enterprise sector is another key source of fiscal risk.
Read more:
