Apparently, Moodys are going to release a report on Spain, at 'the end of September" and might downgrade its long-term debt to junk. WHEN do they release the report? Will it be afterhours on Friday, like it was when S&P downgraded the US?
I think they'd wait for Spain to ask for a bailout which seems likely, and then look at the pieces of deal. Bailout happening should be more important to market then downgrade IMO, but who knows ~ We might see a pump into the end of the quarter... Would Spain wait for our after hours to bring down the house ? not sure ...
After poor risk sentiment on Wednesday, immediate risk now, according to NAB analysts, "is that Moodyâs may act to slash Spainâs credit rating to junk, having warned in mid-June (when it cut Spain by three notched to Baa3) that further action was likely within three months." The timing of ratings agency actions, NAB explains, "has been exquisite so donât bet against this happening as early as today."
The timing is not in doubt, its at "the end of September", regardless of bailout requests (that might be sometime off, and probably NOT by tomorrow). I think a downgrade to junk status will be very significant to the market. Moodys is a US BASED rating agency, and at S&P they did wait til afterhours for the US downgrade. I find it amazing and incompetent that theres no information on the timing of the release.
Exactly. It's likely to be anytime, any moment, probably Friday and I'd expect its probably in the afterhours. This is bizarre allowing rating agencies to get away with unplanned surprise announcements -- I wish Rating agencies would take their job seriously and go about things in a careful deliberate manner, instead of acting like comedians.