Here's what happened last year, which eventually fed through into weakness in all currencies with large/deteriorating current accounts. It certainly doesn't feel like the same will happen this time around, though EUR/ISK a percent or so higher (Bloomberg screen not updating)
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Click here for commentsFitch left banks go this time.
ReplyIt would be interesting to see when will Moodys "re-adjust" bank AAA ratings.
No doubt after the price has already moved....
Replyseems it will happen today
Replyhttp://today.reuters.com/news/articleinvesting.aspx?type=bondsNews&storyID=2007-03-16T120218Z_01_L16639377_RTRIDST_0_MOODY-S-BANKS.XML
Any view on how hard they will have to cut?
Nope, other than 'well away from triple-a!'
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