Global Economy

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[url="http://news.bbc.co.uk/2/hi/business/8647441.stm"]Greek bonds rated 'junk' by Standard & Poor[/url]

Greece's debt has been downgraded to junk status by Standard & Poor's amid concern it was not able to take steps needed to tackle its economic crisis.

The struggling nation is appealing for 40bn euros from eurozone governments and the IMF to shore up its finances and allow it to make debt repayments.



But there are fears it will not meet conditions needed to access the funds.

Earlier, Portugal's debt was downgraded as doubts intensified about countries with substantial debt relative to GDP.



S&P said it was lowering its rating on Greece's debt to BB+ from BBB-, hitting US and European markets.



In London, the FTSE 100 index closed down 2.6% with most of the losses following S&P's downgrade of Greece. On Wall Street, the Dow Jones index was 1.4% lower at 11,052.1 points.

Shares in Greek banks slumped by more than 9% , the largest one-day fall in bank shares for 18 months.

Beginning of end of European union and Euro.

Another success story of Socialism, more will follow.



India is also in queue. MMS is working towards India's slow painful death.