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Kasz216 on 28 February 2012
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Rath said:
Rath said:
SamuelRSmith said:
How can you call "writing down 107 billion Euros" not a default? They've just defaulted on 107 billion Euros (for all intents and purposes). This is the second time this has happened, too.


I've heard some argument (think it was on an editorial on the BBC) that the ratings companies might actually interpret this as a managed default, which is effectively what it is. Doesn't seem to have happened though.


Just to follow up on this train of thought, S&P just declared Greece to be in selective default.

Which makes sense, though I feel won't effect much.

Rally it seems more and more like credit agencies are following the market.... not the other way around.

Heck, look at the US downgrade.  That happened.   Since then, US bonds are in higher demand then ever.  Higher then a lot of the Triple A countries bonds.

Looking at it through that metric you'd think it was crazy the US had that kind of rating.