- Also changed its outlook on the provisional (P) AAA rating of the EU’s medium-term note program from stable to negative .
- The change to negative reflects the negative outlook now assigned to the AAA sovereign ratings of key contributors of the EU budget.
- Debt issued by the EU is backed by multiple layers of debt-service protection.
- Negative risk include a deterioration in the creditworthiness of EU member states .
- EU’s rating particularity sensitive to changes in the ratings of the four AAA countries with large contributions to the EU budget.
- Says EU’s rating could return to stable if outlooks on the key AAA countries also return to stable.
Very little reaction to EUR/USD trading at 1.2585/90 , back to dinner now .
