Greek banks fell sharply on Thursday as a credit downgrade put the country’s financial markets under fresh pressure. S&P cut Greece’s credit rating from A minus to triple B plus on Wednesday, a week after Fitch cut Greece’s rating to triple B plus with a negative outlook. The spread between 10-year Greek sovereign debt and German Bunds jumped to as high as 254bp. Irish lenders, particularly Bank of Ireland and Allied Irish Banks, also slid after Patrick Honohan, central bank governor, said the state could increase its 25% stakes in the two banks to majority holdings.

This entry was posted by Gwen Robinson on Friday, December 18th, 2009 at 5:01 and is featured in The 6am Cut London (18 Dec 2009) . Tagged with Allied Irish Banks, bank of ireland, Greece. Edit this entry.