France

S&P Downgrades Three French Banks

The good news from Europe keeps on coming

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S&P downgraded three French banks, including the 3rd biggest lender in the world BNP Paribas, saying the outlook for another 10 lenders was negative. The agency said European turmoil was increasingly pressing, with economic data backing the gloom.

Banque Solfea and Cofidis were the other 2 French lenders that came into the S&P firing line. The agency cut the outlook on another 10 banks including such market giants as Societe Generale, and Credit Agricole to negative from stable.

In its decision, S&P lowered its long-term rating on BNP Paribas to "A+" from "AA-", while cuttingsmaller players Banque Solfea to "A-" from "A" and Cofidis to "BBB+" from "A-". The forecast on both short – and long – term ratings was negative.