Credit Rating Agencies Under Fire.
Tuesday, 4 May, 2010 Leave a comment
"Some European officials are calling for curbs on rating agencies like Standard & Poor’s, Moody’s Corp. and Fitch Ratings. They argue that conflicts of interest and bad information make the agencies’ assessments unreliable, even dangerous.
Germany’s foreign minister went so far Thursday as to suggest that the European Union should create its own rating agency. He spoke after downgrades of Greece and Portugal roiled financial markets and stoked fears that Europe’s debt crisis was spreading.", Read more.
Along similar lines is an article from Reuters which claims that rating agencies are part of the banking crisis.
An rethink of rating agencies is urged by FT, read here.
The bank that thought it ruled the world – Goldman Sachs aren’t the only bank who knowingly bullied credit agencies.