Fox Business
Expand
Browse All Video
Watch Live

You're watching...

Moody’s Threatens Rating Cut on UK

Details

  • Description

    FBN’s Diane Macedo breaks down the stories moving the markets ahead of the trading day.

  • Duration 5:04
  • Date

Clips

Also in this playlist...

Latest Video

Auto-advance: ON

Auto-advance
View All

Transcript

This transcript is automatically generated

This is very Imus in the morning.

On the fox goes yeah.

Good morning everyone has utility yesterday Greece did pass that -- austerity package needed to secure the 170 billion dollar bailout from European lenders but there are still doubts today.

As to whether or not that bailout package will get approved at the European meeting tomorrow in Brussels -- -- live -- -- this morning.

With all the details and -- what's the latest -- Well as you say -- and still many hurdles to overcome before Greece gets that much needed bailout money meanwhile it is a cold rainy miserable -- in Athens I think that pretty much sums up the mood of the people.

As they -- wait to find out whether in fact they'll get that bailout money.

And the cost of course is more severe cuts my got to tell you it is having a huge social impact on this country.

That is already suffering into its fifth year of recession let's take a look at some of the impacts of these austerity measures have already had.

Homelessness is up some 25%.

We were down in the central Athens markets today in the flea market where we saw people try to sell their gold jewelry of that gold chains in some cases.

They gold wedding bands in order to get money to buy food is a very sad situation.

On employment up 21%.

We've seen soup kitchens popping up.

Certainly here in Athens the churches operating some of those but more more people needing their help.

Bottom by the way we also heard from authorities today than -- 153.

Businesses in total would damaged in those riots on Sunday night.

45 businesses -- god destroyed.

So let's just gives you a sense of -- Some of the mood here yes they are hoping that Greece can get the money so they can pay its bills but -- social impact is -- already quite severe.

So we wait to see what -- very EU will indeed ground Greece the next round of money.

Greek parliament meeting a cabinet meeting is just getting under way behind me in the parliament building.

So we're expecting more news as you say tomorrow the European finance ministers in Brussels we think will take up the issue but again so much left up in the -- Diane back to you.

-- -- on that mood.

As you mentioned is a lot of violence there on Sunday night and we were talking -- yesterday.

As to whether you were expecting any to have happened last night I'm wondering what it was like their last night and even now this morning as the mood.

Changed.

Well it's a little boy I mean it's certainly ten -- and the people we've spoken to say they fully expect more violence we've had reports today of some skirmishes with police.

In a town in the western parts of Greece we haven't seen that yet see in Athens but I don't think you'll take a whole lot.

Before we see protesters getting back on the streets and so people here are prepared for -- and I wouldn't be surprised to be sold more -- hopefully.

Not on the scale that we -- here on Sunday night.

-- SE space saver and stay dry looks like an arena.

-- take a look at the markets now here in the US.

-- -- bouncing around today they're back in mixed territory now Dow futures are down by three the S and -- down.

That three quarters of a point on the NASDAQ up by half a point.

Over in Europe are also seeing mixed markets there that's still up from where they were earlier.

A report showing German investor confidence rose for the third month in a row helped pare the losses -- -- markets were down.

After Moody's downgraded its credit ratings on Italy Portugal Spain Slovakia Slovenia and Malta.

While France Britain and Austria kept their top ratings but had their outlooks dropped from stable to negative status -- that -- sent markets down.

And we got the German report that brought them back up a little bit now we're seeing them -- London is down -- Paris and Frankfurt are both up.

It's a lot to digest that Europe this morning's let's go over to Peter Dixon global equities economist at Commerzbank.

And Peter what do you make of all of this what do you think is -- contribute the main contributing factors here.

To these numbers it seems like we -- good news and once I had bad news in the other and the market -- -- like they know what to do with all of it.

But I think that's that's -- -- I I think -- it critical point in the cycle at the moment because I get the sense that you know some of the worst of the -- that we soul.

Towards the end of 2011.

Beginning to lift -- from an economic point of view.

Obviously -- seeing -- numbers out to the yet out of the US.

But you know here in Europe to -- -- -- on -- -- -- coming frightening.

I think markets and under these circumstances are holding a fire as a goal for the bond news outlet but there's no point in now in in -- in the market short under these circumstances because if things they yelled getting back developed in the real thing to do.

-- Peter thanks so much that Peter Dixon over at Commerzbank.

And now let's take a look at commodities oil and gold are mixed oil is up by about thirty cents.

It's hovering around 101 dollars a barrel gold is down by eight bucks at 1716.

Announced.

Coming up this hour Imus is definitely Frank Rich of New York magazine -- in the morning continues right now.

Load More