Correction time

摘要

May and early June saw the stock markets deflate following a rally that had lasted a good nine months. After such a long run of gains, it was an inevitable and arguably overdue correction. One key event that led to the downturn was the downgrading of Greece's sovereign debt by ratings agency Moody s. At Caal, the agency's view is that Greece's credit is of "poor standing and are subject to very high credit risk." Although there are still four ratings below this, Caal is about as bad as it gets for national debt - it is a rating normally reserved for pariah states, or those that are actually in default.