Thursday, April 29, 2010

Credit-rating agencies under fire in Europe crisis

The market rather rating agencies discount risk. It was the market that attacked the weak positions in Europe. They will soon do the same in the United States. Forget about the rating agencies. They are already too political to be preemptive.

Germany's foreign minister went so far Thursday as to suggest that the European Union should create its own rating agency. He spoke after downgrades of Greece and Portugal roiled financial markets and stoked fears that Europe's debt crisis was spreading.

Source: finance.yahoo.com

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