An ICYMI from Moody's: placed Italy's ratings on review for possible downgrade
key drivers
1. The significant risk of a material weakening in Italy's fiscal strength, given the fiscal plans of the new coalition government;
2. The risk that the structural reform effort stalls, and that past reforms such as the pension reforms implemented in 2011 are reversed.
Moody's itself may well be gated, but Reuters and Bloomberg have reports if you'd like more:
Do note that Moody's announcement was prior to the weekend news:
- US / China trade tensions latest: "US presses China to sign long-term import contracts"
- FT: UK gov preparations for a no deal Brexit "have largely ground to a halt"
- Italy - WSJ headline: Italy in Turmoil as New Government Fails to Form
- Brexit - UK's Johnson repeats call for UK to leave the European customs Union
- Italy - constitutional crisis imminent? Fresh elections?
- Trade ideas thread - Monday 28 May 2018
- Trump tweets - US team has arrived in North Korea to make arrangements for Summit
- Italian politics - PM designate and President to meet
- Latest on North Korea - Trump / Kim meeting looks to be on again
- Weekend Italian politics - attempt to form government fails
Maybe not having a government in Italy is more of a positive than having a government? :-D
After all, what have the Romans ever done for us?
