Economic Observer reported comprehensive network of international credit rating agency Moody’s Investors Service, Global Director of sovereign risk Bart Osterfeld 23 in Paris, said that as the euro-zone members country is difficult to put an effective solution, the European sovereign debt crisis will continue, will not soon settled quickly.
Osterfeld at the Boao Forum for Asia International Capital Conference held in Paris, pointed out that Moody’s believes that euro euro area member states want to maintain the status quo, and are unwilling to make in the short term commitment to deepen financial integration, these two goals conflict with each other. However, the euro zone leaders are trying to resolve their differences and seek consensus.
Osterfeld said the market’s expectations and needs and respond to the euro zone leaders can make the distance between the increasingly The larger the gap between growing investor psychology, the debt crisis will continue for some time in focus.
Osterfeld that market confidence will fall very difficult to inter-bank lending, and threatened to enter the financial markets in euro area countries
Financing. On the other hand, the euro area currently rely solely on the European Central Bank purchased from the secondary market, small-scale debt of heavily indebted countries, rather than seek a more comprehensive solution, the coping strategies will be breeding a significant risk.
in Italy, Spain and France, 10-year yield rising against the backdrop of Moody’s 21 warned that the French Treasury yields rate continues to rise and the economic outlook deteriorated, will exacerbate the financial difficulties of the French Government, the French have a negative impact on credit. This exacerbated the debt crisis, investors in the EU worries about the upgrade, the day of the financial markets in Europe and America into upheaval.
