Moody's Downgrades Greece To Just A Few Notches Above Default: From B1 To Caa1, Outlook Negative

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Wed, 06/01/2011 - 14:53 | 1329749 Fish Gone Bad
Fish Gone Bad's picture

Everybody saw this coming, right?

Wed, 06/01/2011 - 15:02 | 1329766 max2205
max2205's picture

Guys at Moody's are forward looking geniuses...sic

Wed, 06/01/2011 - 15:04 | 1329775 max2205
max2205's picture

Now would be a great time for Dick(head) Bove to go outperform on the financials

Wed, 06/01/2011 - 18:10 | 1330553 Hard1
Hard1's picture

Indeed, they look at the 5yr CDS and assign their best guess of the corresponding rating to the last month moving average.  If they are way behind the curve and don't want to make too suddden moves, they move 1-2 notches and assign the corresponding outlook.

Wed, 06/01/2011 - 14:53 | 1329750 Deep
Deep's picture

But but, Cramer said this rally is unstopable yesterday. Is he wrong?

Wed, 06/01/2011 - 15:03 | 1329769 Arius
Arius's picture

no - never, i would not bet against Cramer...

Wed, 06/01/2011 - 15:14 | 1329820 Spirit Of Truth
Spirit Of Truth's picture

How apt since we were likely at the edge of a cliff when Cramer commented:

http://thespiritoftruth.blogspot.com/2011/05/edge-of-cliff.html

Wed, 06/01/2011 - 14:58 | 1329753 Caviar Emptor
Caviar Emptor's picture

Greece responds by downgrading Netflix

Thu, 06/02/2011 - 04:10 | 1330547 edotabin
edotabin's picture

LOL !

How? Gpap's lines are all tied up on calls to the public prosecutor's office.

At this point, I think he is using the bailout money to buy lottery tickets in all nations around the world. Win a lotto here and powerall there...... it adds up man!

Now, I just gotta check up on my boy Van Rompuy. You know, to see how he's doin' and to make sure he has it all under control.

Seriously though, after all the depressing stuff we read every day it is good to see a sense of humor. Maybe the sarcasm is a defense mechanism... Who knows?!?! Either way, thanks for the laugh.

 

Wed, 06/01/2011 - 19:34 | 1330795 downwiththebanks
downwiththebanks's picture

Greece responds by downgrading the criminal Banker-Gangster lackeys at Moodys.

Wed, 06/01/2011 - 22:03 | 1331185 Milestones
Milestones's picture

No, if they're smart is take the $$$ and invest the first $150MM i ground to air missles and the next $1BB in good tanks from Russia and some subs; then default and tell the EU to get fucked.  Milestones

Wed, 06/01/2011 - 14:55 | 1329754 buzzsaw99
buzzsaw99's picture

opinions are like assholes.

Wed, 06/01/2011 - 17:49 | 1330473 Problem Is
Problem Is's picture

Some are bigger than others??

Wed, 06/01/2011 - 19:37 | 1330797 downwiththebanks
downwiththebanks's picture

So are lying, idiotic rating agencies.

Wed, 06/01/2011 - 14:58 | 1329755 LRC Fan
LRC Fan's picture

Just another false alarm.  Buy stocks.  Robo told me XLF is a good pick

Wed, 06/01/2011 - 14:59 | 1329758 digalert
digalert's picture

Pretty bold move by Moodys, goin out on a limb like that. hah

Wed, 06/01/2011 - 15:03 | 1329770 lizzy36
lizzy36's picture

But the EU has a BRILLIANT NEW plan for Greece (doesn't reek of desperation at all):

European Union officials are examining how Greek state assets marked for privatisation could be used as security for Greek government bonds to be sold to banks, EU sources said on Wednesday.

Such an arrangement could provide an additional leg of financial support for Greece as it attempts to obtain fresh aid from other euro zone governments and the International Monetary Fund. At present Athens is unable to borrow money from the markets at affordable rates.

The idea could also be used as an incentive to persuade commercial banks to roll over their exposure to Greece when their existing holdings of Greek government bonds mature. EU officials have been considering the concept of a rollover but it remains unclear how banks could be persuaded to participate. Under the proposal to use state assets as security, Athens could employ assets which it is reluctant to sell off or unable to sell quickly, the sources said -- although such a scheme might be opposed by holders of existing Greek debt who did not benefit from the security, such as the European Central Bank.

Wed, 06/01/2011 - 15:05 | 1329785 Tyler Durden
Wed, 06/01/2011 - 15:13 | 1329818 Sockeye
Sockeye's picture

That is so much cooler than saying something lame like "google is your friend"!
(how'd you do that?!!!)

Wed, 06/01/2011 - 15:23 | 1329845 cougar_w
cougar_w's picture

If you liked that then you might enjoy watching this:

http://live.lmgtfy.com/

Wed, 06/01/2011 - 15:58 | 1330027 NotApplicable
NotApplicable's picture

Wow, a realtime display of snark filler. That is both scary and cool all at the same time. It needs a scroll bar, though.

LOL, just saw "am I an idiot" go by. I'll bet somebody enjoyed clicking on that LMGTFY link.

Wed, 06/01/2011 - 16:09 | 1330064 cougar_w
cougar_w's picture

It needs a scrollbar and a "best of" section.

Though I suppose grade-A snark is it's own reward.

Wed, 06/01/2011 - 19:42 | 1330824 euclidean
euclidean's picture

TD, how is this any different to the rating of US cow shit as AAA caviar during the mark to fantasy dream run of 2004-2011? How the f*ck are US ratings agencies even taken seriously since? (rhetorical question)

Inverse flip - the US doesn't know how to accept defeat, and suffers from scorched orgy syndrome. If the US cannot control the orgy, then everyone is going to get a good reaming. You are the pin, and not the cushion I take it?

But look, am happy to swallow more of the orgy juices if enough people believe this US ratings bullshit. Forget internet falsehoods, MSM loves feeding wholesome misinformation and unfounded facts to the masses.

Wed, 06/01/2011 - 15:22 | 1329851 traderjoe
traderjoe's picture

Of course, under fractional reserve banking, banks create money out of thin air, taking collateral of productive assets, and charging interest for the priviledge. Yea- that makes sense.

Wed, 06/01/2011 - 15:03 | 1329772 carbonmutant
carbonmutant's picture

We're waiting for the EU to announce their own ratings agency...

It's clear that there is an obvious bias in having a US agency reporting on EU members....lol

 

Wed, 06/01/2011 - 15:04 | 1329783 IEVI
IEVI's picture

This is great news...should be no problem to get ES green in the next hour.

Wed, 06/01/2011 - 15:05 | 1329784 Caviar Emptor
Caviar Emptor's picture

Moody's downgrade outdone by Fitch, downgrading Greece to "Refuse" from "Rubbish" 

Wed, 06/01/2011 - 15:04 | 1329792 Lord Welligton
Lord Welligton's picture

Next up: Greece begins criminal proceedings against the rating agency for character defamantion and liber (or is that slander?).

Well it's certainly not "liber".

:)

Wed, 06/01/2011 - 15:10 | 1329806 Duuude
Duuude's picture

 No, it's slandel

Wed, 06/01/2011 - 15:07 | 1329803 Cdad
Cdad's picture

Greece smeesh.

I understand there is a slight problem in Greece...however, we all know that Netflix is the key to global economic growth and stock market stability.  That being said, a ten fold increase in the price of one of its contracts is NOT, I'm sure, a real problem:

http://www.google.com/hostednews/ap/article/ALeqM5ik9nx-HC02AMQJeknM4vTcUGQAIg?docId=f929ac78edce43a5bb70ff7d7adc7747

Brilliant!  Good thing the HFT geniuses have been running it up the flag pole for weeks.  Are these things connected?  Not sure.  We all know that criminal syndicate Wall Street bankers always play by the rules, and they would never mark something up and then buy puts on it right before the sell it into oblivion.

And everyone knows that streaming movies feed a hungry nation.

As for Greece...no one could have seen that one coming, either.

Wed, 06/01/2011 - 16:03 | 1330035 Alienated Serf
Alienated Serf's picture

+ lul

"we all know that Netflix is the key to global economic growth and stock market stability."

Wed, 06/01/2011 - 15:07 | 1329804 PaperBear
PaperBear's picture

I just want to know when the COMEX defaults on it's silver future contracts.

Last time I heard there was only 32 MN oz of registered silver.

Anyone ?

Wed, 06/01/2011 - 15:07 | 1329805 TooBearish
TooBearish's picture

MY BIG FAT GREEK DONUT

Wed, 06/01/2011 - 15:10 | 1329807 rajc
rajc's picture

i am sure more coming TomorroW ;)

Wed, 06/01/2011 - 15:11 | 1329808 orangedrinkandchips
orangedrinkandchips's picture

Moody's debt rating is like Magic Johnson being a commentator for the NBA.

 

"well, the team who plays the best defense and scores the most points wins...."

 

Moodys might as well come out and venture a guess that...yes..the sun will come out tomorrow (sorry annie)

 

too rich....

Wed, 06/01/2011 - 15:11 | 1329812 Caviar Emptor
Caviar Emptor's picture

Greek prime minister proposing national bake sale to raise funds

Wed, 06/01/2011 - 15:13 | 1329817 buzzsaw99
buzzsaw99's picture

Moody's: For the right price Greece could be AAA ;) ;)

Wed, 06/01/2011 - 17:48 | 1330484 Problem Is
Problem Is's picture

Hey Greece! Change your name to Abacus...

Wed, 06/01/2011 - 15:14 | 1329824 Caviar Emptor
Caviar Emptor's picture

Shaq announces on Twitter that he'll retire. Explains market drop

http://www.tout.com/m/9944wo

Wed, 06/01/2011 - 15:19 | 1329836 johngaltfla
johngaltfla's picture

Uh, isn't this like saying a black cat is black?

The sky is blue?

The market is rigged?

If nobody saw this one coming, they ain't been paying attention....

Wed, 06/01/2011 - 15:19 | 1329837 carlo
carlo's picture

Bada bing !  The dip buyers takin a rare beating today

Wed, 06/01/2011 - 15:22 | 1329842 geno-econ
geno-econ's picture

Europe will be inundated with Greek Diners on every corner of every city, accepting only gold or silver for a gyro or souflaki.

Wed, 06/01/2011 - 15:24 | 1329847 Dapper Dan
Dapper Dan's picture

Nice volume on the down side for the DOW, related to this news?

Wed, 06/01/2011 - 15:28 | 1329850 virgilcaine
virgilcaine's picture

Netflix is all that matters..! The HFT bots don't know/care of Greece. (Sarc.)  and it's Lehman x 10.  The troika knows the pain that flows.

Wed, 06/01/2011 - 15:26 | 1329853 TraderTimm
TraderTimm's picture

Forget the Fed and the banks. Time for something new. As a primer, here's a compelling list of reasons I found on the bitcoin forum to pull from your bank and use BTC instead.

http://forum.bitcoin.org/index.php?topic=11110.0

All it needs is printing on some glossy brochure paper and left at a bunch of BoA, Citibank and other branches. Would be great for the looks on their customers faces, eh?

 

 

Wed, 06/01/2011 - 15:31 | 1329864 dwdollar
dwdollar's picture

At this point I question if a nuclear war would even take the DOW below 12k.

Wed, 06/01/2011 - 15:30 | 1329866 Quinvarius
Quinvarius's picture

They had to do something to prop the USD up today.  It was looking real bad for it to be dropping after the debt ceiling vote.

Wed, 06/01/2011 - 15:32 | 1329878 tradewithdave
tradewithdave's picture

If Greece were in America they would be protected by Citizens United v. FEC.  Such a rating would be considered hate speech against their corporate personhood. 

The court exempted Corporations from the Alien Tort Statute.  Now we know why.

http://tradewithdave.com/?p=2468

You think I'm joking. 

Dave Harrison

www.tradewithdave.com

Wed, 06/01/2011 - 15:45 | 1329940 Bonesetter Brown
Bonesetter Brown's picture

Greek bonds are a generational BUY!

Wed, 06/01/2011 - 16:07 | 1330057 vocational tainee
vocational tainee's picture

When do the british get a daa+ ?

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