The story of debt ridden Greece has once again caused a lot of Euro uncertainty and speculation on the Middle Eastern markets during the last seven days. While a deal is rumored to be close to a conclusion the Greek tragedy at present is still an unresolved dilemma.
In London an analyst has predicted that we will see a resolution over the next two to three days. He also said that the fall in prices of Greek Bonds is escalating and an intervention cannot be avoided for much longer. A lifeline from the European International monetary fund still seems to be the most likely form of aid Greece is going to receive.
Fitch Ratings cut Greece’s credit rating by two places yesterday and that is currently the lowest position it can occupy. If it slumps any lower
Then its bonds will become worthless.
Greece has been in financial dire straits for sometime and is one of five countires within the European Union who are really struggling in the global recessions. These countries are characterized by being called PIIGS standing for Portugal, Italy, Ireland, Greece and Spain.
Many predict that it is difficult for Greece to gain a bail out as there are some countries within the European Union who are less than happy to be refinancing them most notably Germany.Paul Holdsworth, Staff Writer, Gulf Jobs Market News