18 May 2012 10:36 [Source: ICIS news]
LONDON (ICIS)--European chemical stocks were down on Friday, in line with financial markets, after rating's agency Moody's downgraded 16 of ?xml:namespace>
Investor confidence was hit by the downgrades, which included
“We downgraded 16 Spanish banks as well as Santander UK Plc, the UK-domiciled subsidiary of Banco Santander SA, as part of a review for downgrade of various European banks initiated on 15 February 2012,” Moody’s said.
The country has struggled to cut its debt, while the government’s ability to support lenders has caused concerns for investors.
At 08:13 GMT, the
With European indices trading lower, the Dow Jones Euro Stoxx Chemicals index was down by 0.92%, as shares in many of
Moody’s said that seven of the banks downgraded remain on review for further downgrading and said it will be looking at other European banks over the coming months.
“We already took action on 26 Italian banks earlier this week and seven Portuguese banks in March. We expect to conclude the remaining reviews on other European banking systems by the end of June,” the agency said.
“This wider review is driven by the difficult European operating environment caused by the prolonged euro area crisis, and the deteriorating creditworthiness of certain euroarea sovereigns,” it added.
Meanwhile, fellow rating’s agency Fitch downgraded
“An exit of
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