Friday, October 14, 2011

Europe: Spain debt downgraded, Deadline for European Banks to raise capital

by Bill McBride on 10/14/2011 12:02:00 AM

A few articles on Europe ...

From the Financial Times: S&P cuts Spain’s sovereign debt rating

[S&P] knocked Spain’s rating down one notch from double A ... to double A minus. It also kept the ... negative outlook.

S&P’s statement said ...there were “heightened risks to Spain’s growth prospects” due to high unemployment, tighter financial conditions, a high level of debt and a broader eurozone slowdown.
excerpt with permission
From the WSJ: Spain Deficit Raises EU Risks

From the NY Times: European Banks Face Deadline to Raise Capital Levels
Europe’s banks face a deadline of three to six months to strengthen their balance sheets and to compensate for the decline in value of Greek and other south European sovereign debt, European officials said Thursday.