Egan-Jones cuts France’s credit rating
The election shock in Athens is reverbarating across the euro zone.
Every day really does bring another downgrade in Europe. France is the latest euro zone country to take a credit ratings hit.
The ratings firm Egan-Jones downgraded France's credit rating to BBB+, Bloomberg reported.
Egan-Jones said it was cutting France's credit rating because of deteroriating credit metrics and weaknesses among French banks. The company also said it expects France to remain under pressure as a new president works to keep campaign promises that are likely to hurt the country's credit quality.
France joins a number of countries that already have had their credit ratings slashed by various agencies. Spain for instance is barely hovering at above junk status, according to Moody's, which cut its credit rating for Spain on Wednesday.
More from GlobalPost: Moody's downgrades Spain
Egan-Jones downgraded its outlook for Spain a day ahead of Moody's. Zero Hedge noted it's usually a month ahead of its better-known counterparts like Moody's.
France hasn't seen its borrowing rates spike as Spain has, but CNNMoney said Egan-Jones warned the worst could be yet to come.
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