the consequences will be very serious. ��

Europe's poor credit rating is a domino effect relief crisis spread International rating agencies have recently downgraded sovereign credit ratings in some European countries, further deepening the European debt crisis. Portugal, and Hungary were lowered one after another sovereign credit ratings, and is warned that possibility of ratings lowered further. Prior to this, France due to Europe's first recipient Bank de g summer crisis involved, were sovereign downgrade of the Rating Agency warned. European countriesLike a domino effect, more volume and deeper in the vortex of the crisis in Europe and has spread to the core area of national trends. European worries of many State was demoted on Thursday announced one of the three rating agencies Fitch, since Portugal serious fiscal imbalances, and departments in debt and poor macroeconomic Outlook, Portugal's credit rating was downgraded to BB from BBB-,And maintaining a negative Outlook. Then on Friday, another ratings agency, Moody's will Hungary rating to Ba1, looking forward to the prospect as a negative. Together with Greece, and Spain, and Italy one after another into a mire of a debt crisis, a growing number of signs that European debt crisis spread quickly from the periphery to the core countries of Europe. The eurozone's second-largest economies FranceBefore themselves in a zishennanbao position, weak overall economic recovery remains weak and, as the eurozone rescue tool of the main contributors, France banking on Greece, and Italy and Spain and other countries debt risk continues to increase. Moody's ratings have been warned a few days ago, in the face of the deteriorating economic situation at home and abroad, France high borrowing costs will lead to a worsening financial situation, its 3 a rating stabilityUnder pressure. Have been economic stability and a reputation for being European number one power in Germany also recently ran into trouble, its long-term government bonds has been a capital markets heat up quality assets, but recently has stepped suffered market snubbed, suffered the worst situation since the establishment of the euro area. Analysts believe that if as eurozone economic credit rating the best of Germany not in capital cityAdequate financing, the situation in other European countries as you can imagine. Demote the poor relief crisis diffusion analysis of this event, Vice President of Renmin University of China Institute of finance and Zhao Xijun thinks the reason is obvious, is the result of European debt crisis further deepened and spread, also fully exposed serious problems in the European countries on the financial system. Zhao Xijun reporterAnalysis, European banks bonds tend to hold other countries of the financial system, when a national system of debt crisis it's easy to transfer to other States, the holder of financial problems. In addition, as relief after the European debt crisis is not effective, is one of the causes of the crisis spreading. Zhao Xijun believes that precisely because after the outbreak of the crisis, national savingHas long been unable to reach agreement, investors have on the ability and effectiveness of Europe's own bailout doubts attitude. And ineffective relief measures also affected economic growth and employment in Europe, which will in turn affect European taxes, government revenues and reducing debt in the next stage actions and reduce fiscal expenditure the old republic power leveling, and so on. "If the European debt crisisCannot be resolved in a short time, the end will make the European prospects became less and less clear. "Zhao Xijun believes that affected the stability of the financial system, investor risk factors such as the stack, from the point of rating agencies, constantly degraded in some European countries have become very common thing. Once confidence collapse consequences can be severe and many people of European countriesExpressed concern in the future. Han Zhiguo, a famous economist in Twitter or even mourning called: "the euro is a step towards the death, bankruptcy of the eurozone is a foregone conclusion. "However, the European debt crisis continues to worsen, it is true there is still no solution the best remedy. Some analysts, creditworthiness and operation of European financial stability fund closely linked with the top credit ratings for Germany and France, if France letterRating downgrades, guarantee the credibility of the European financial stability Fund will also depreciate, that current eurozone financial rescue mechanism as a whole will be seriously affected. "Therefore, the faith's most important. "Zhao Xijun believed that degraded the biggest negative impact is affecting investor confidence. Degraded state and bank credit in the investors even less, but also makes the rest of EuropeState aid is increasingly expensive. Zhao Xijun said the problem in the rest of the euro zone economy, bond and other means to resolve the crisis through the introduction of the euro, but if "fire" Once burned to Germany, I'm afraid all of Europe will be difficult to restore, also spread to financial markets around the world. Renmin University of China International Monetary Institute Director and Deputy Director Xiang Songzuo (blog) (microblogging)Expected before new year's day, European countries will reach a compromise, the last minute, or by the European Central Bank to provide liquidity to restore confidence, but the key is to look at Germany. Standard and poor's Senior Director Xu Tianshi also said before, though rating agency downgrades meet most people's expectations swtor power leveling, but should now stop panic spreading. He warned: "If collapse of confidence, the consequences will be very serious. ��