Moody's cuts Ireland to junk, warns of second bailout

[sasha031]

- Moody's Investors Service on Tuesday cut Ireland's credit rating to junk status, saying the country will likely need further official financing before it can return to international capital markets.

Chances that European policy makers will force the private sector to share the burden of future bailouts also weighed on Moody's decision, as the agency believes that decision would drive borrowing costs higher for weaker euro zone members.

"The prospect of any form of private sector participation in debt relief is negative for holders of distressed sovereign debt. This is a key factor in Moody's ongoing assessment of debt-burdened euro area sovereigns," the ratings agency said in a statement.

Moody's cut Ireland's ratings by one notch to Ba1 from Baa3 and kept a negative outlook on the rating, which means further downgrades are likely in the next 12 to 18 months.
http://www.reuters.com/article/2011/07/12/us-ireland-ratings-moodys-idUSTRE76B6A720110712

[JuniperLea]

1. That used to mean something to me...

Until I learned the rating Moody's gave to AIG and all the fake real estate investment vehicles.

It's a joke, really, that they are allowed to continue calling the shots like this.

Still, let this be a lesson to all who say proudly, "Let the debt ceiling fail!"

[Hydra]

4. It's just disaster Capitalism

Iceland kicked these people to the curb and things got better. Ireland signed their soul away and is getting burned again.

Guess what all the "Experts" predicted would happen in both cases?

[JuniperLea]

5. "The war will pay for itself!"

Or something along those lines... same story, different scene.

Disaster Capitalism... Love that... it's like calls and puts in stock trading.

[Sherman A1]

2. I think Ireland should return the favor

& ban Moody's from their country and cut them to junk status as should all of the rest of the world's governments.

[xchrom]

3. fuck moodys. nt