Egan Jones Downgrades Germany From AA- To A+

Angela won't like this.

6/26/2012: Federal Republic Of Germany: EJR lowered AA- to A+ (Neg.) (S&P: AAA) (3413Z GR) Synopsis: German chancellor Angela Merkel continues to create tension with EU member states by resisting calls for EU bonds (shared liabs.), money printing calls and for her pushing for fiscal controls and the seniority of bailout funding. Germay is likely to be outvoted by other ECB members and therefore will have greater prospective exposure. Watch for the EFSF and the ESM morphing into banks (thereby depressing eventual recoveries) and a rise in the number of euros. The fallout from a likely Greek exit needs to be monitored. We are cutting to " A+ "

Zerohege

Before anyone asks Egan Jones is a rating agancy thats payed for by investers not
the banks like Moodys and are a few steps ahead of the others.

So think of a downgrade by them as a hint of the way things are going.

Egan-Jones are much more on the ball than other agencies. Sometimes the other bigger agencies will follow.

gonna be rough to be the savior of the eurozone if theres no confidence in your own economy, to me anyone who doesn't see this as just another step in the coming collapse, needs to open there eyes. Sad because I think the implosion will happen so fast even those who feel there prepared are gonna be taken bye surprise. Thats just my opinion and I just feel we are in for one hell of a ride.

SaneThinking

reply to post by skuly

Angela won't like this.

Just like they didn't like it when the rating agencies downgraded Greece and other countries. All this is likely to do is give more fuel to the calls in Europe to create rival, European based rating agencies and/or pass laws to make the rating agencies irrelevant.