Sarkozy's legacy is the turning of France into junk.
Well he had it coming. He wanted to mix with the big boys and in this election year will, as we predict, end up being a chat show host after he loses. Of course, AAA or AA doesn't mean that much and if the euro-tarp ends up costing a few bips more, who really cares? And what about Fitch who thinks France is still a good bet?
While us Brits laugh at France's inability to print euros and screams across the channel "AAA", the real drama is in Greece. A mate of mine who runs a large exposed hedge fund is in Athens refusing to take a haircut of 50%. It is like a game of poker. 50% or nothing. The reality is if the private debt holders refuse the 50% they will sue the Greek government and the EU. It is the game of the century.
Greece preps for the Drachma 2.0 (bbc)
AON follows the UK's AAA (telegraph)
France to takeover the Netherlands for its triple A.