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NEW YORK, Dec. 5 (Xinhua) -- Standard and Poor's put 15 eurozone nations, including the area's six AAA rated countries, on "CreditWatch negative" on Monday due to deepening economic and political turmoil1 in the region, meaning there is 50 percent chance for these countries to be downgraded with the next 90 days.
In its latest statement, S&P said "the CreditWatch placements are prompted by our belief that systemic stresses in the eurozone have risen in recent weeks to the extent that they now put downward pressure on the credit standing2 of the eurozone as a whole."
These systemic stresses, according to the rating agency, stem from tightening3 credit conditions, higher risk premiums4, continuing disagreements among European policy makers5, high levels of government and household indebtedness and rising risk of economic recession.
According to the S&P, their credit ratings may be cut depending on the result of the key EU summit on Dec. 9.
Meanwhile, S&P maintained its negative outlook for Cyprus, and Greece wasn't put on "CreditWatch." The firm also said that ratings could be cut by one notch6 for Austria, Belgium, Finland, Germany, Netherlands and Luxembourg, and by up to two notches7 for the other governments.
S&P's move came as investors8 cheered the Franco-German plan to rewrite the EU constitution for more central control of euro zone budgets.
French President Nicolas Sarkozy and German Chancellor9 Angela Merkel met on Monday in Paris, trying to reach common ground on measures to boost coercive budget discipline in the region.
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1 turmoil | |
n.骚乱,混乱,动乱 | |
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2 standing | |
n.持续,地位;adj.永久的,不动的,直立的,不流动的 | |
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3 tightening | |
上紧,固定,紧密 | |
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4 premiums | |
n.费用( premium的名词复数 );保险费;额外费用;(商品定价、贷款利息等以外的)加价 | |
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5 makers | |
n.制造者,制造商(maker的复数形式) | |
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6 notch | |
n.(V字形)槽口,缺口,等级 | |
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7 notches | |
n.(边缘或表面上的)V型痕迹( notch的名词复数 );刻痕;水平;等级 | |
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8 investors | |
n.投资者,出资者( investor的名词复数 ) | |
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9 chancellor | |
n.(英)大臣;法官;(德、奥)总理;大学校长 | |
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10 joint | |
adj.联合的,共同的;n.关节,接合处;v.连接,贴合 | |
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11 aligned | |
adj.对齐的,均衡的 | |
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12 deficit | |
n.亏空,亏损;赤字,逆差 | |
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