Greece Is Junk Food


Inquiring minds are noticing another country has slide to the level of junk status:

The rating agency Fitch has cut Greece’s rating to “junk”, to “BB+” from “BBB-” with negative outlook, Bloomberg reports.

Greece’s deep public debt makes the country vulnerable for adversity, Fitch writes in a statement in which it explains the reasons for the rate cut.

The agency adds that despite the progress the country has made to reduce the 2010 budget deficit, six percentage points of GDP, the efforts towards a tax consolidation will have to be sustained for many years before Greece will be able to regain the trust of the markets. The negative outlook reflects the fact that the sustainability of the public debt is still very fragile, and that access to the markets for funds remains uncertain.

And the ball keeps rolling.

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