S&P strips France and Austria of prized AAA ratings

TWO of the eurozone’s six triple A-rated countries, France and Austria, were downgraded from AAA to AA last night by credit ratings agency Standard and Poor’s.

Standard & Poor’s also cut ratings on eight other eurozone countries, including Italy (down two notches to BBB+), Spain and Portugal. It placed a negative outlook on all but two of the 17 eurozone nations, saying policies on the crisis may be insufficient.

Earlier 10-year bonds for a number of eurozone countries dropped in expectation of the downgrades by two notches to BBB+.