France Will Be Downgraded, Munis Getting Hammered ... State

[st louis steve]

BREAKING NEWS: Fannie and Freddie Downgraded, France Will Be Downgraded, Munis Getting Hammered ... States Will Be Next
As I noted yesterday, munis will get hammered by the credit downgrade, and France may soon lose its AAA credit.
http://www.globalresearch.ca/index.php? ... &aid=25934
Munis Pounded
Less than 12 hours later, munis are getting pounded by downgrades.

France In Trouble
French credit default swaps are soaring.

Here's a summary courtesy of Business Insider:



For background on the importance of credit default swaps as an economic indicator, see this.

Fannie, Freddie and Clearinghouses Hit
S&P just downgraded Fannie and Freddie.

In addition, S&P downgraded major clearinghouses including Options Clearing, National Securities Clearing and DTCC.

All 3 companies are major clearinghouses for over-the-counter derivatives, as well as other types of financial instruments.

Next Up ... States?
As I reported last month, the real danger is entire states getting downgraded.

Moody's has warned against 5 states in particular:

Maryland
New Mexico
South Carolina
Tennessee
Virginia

Global Research Articles by

[st louis steve]

Business Insider
www.businessinsider.com/ - Cached12 minutes ago – Follow us on Facebook and get updates from Business Insider posted directly to your news feed. It's Absurd When People Say: "Well, ...
Latest
SAI
Clusterstock
Money Game
War Room
Features
Lifestyle
Politics

[Resurrection Torchlight]

it's not the great depression it's the great leveling, the redistribution of wealth, the destruction of wealth, so that all are equal.

RT