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Commerzbank Outline Implications Of Friday’s Greek Sovereign Rating Update

EGBS

Commerzbank note that “Fitch's rating update will be a potentially pivotal event for Greece and the iBoxx €-Sovereign index.”

  • “As the relevant iBoxx rating is the average of ratings provided by Moody's/S&P/Fitch, a one-notch upgrade by Fitch (BB+/stable) would tip the balance for Greece to rejoin the index in January, following S&P's recent upgrade to BBB-/stable.”
  • “However, an outlook change to positive would not be sufficient, delaying re-entry until at least spring next year.”
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com
MNI London Bureau | +44 0203-865-3809 | anthony.barton@marketnews.com

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