Fitch’s and Moody’s Downgrades Suggest Positive Sentiment Should be Short-lived

Financial markets remained firm in Asian session on Monday, carrying forward the positive sentiment after the better-than-expected US non-farm payrolls. Over the weekend, Germany and France held a joint conference and pledged to ‘do the necessary to secure the recapitalization’ of European banks. In the commodity sector, the front-month contract for WTI crude oil approached 84 while the equivalent Brent crude contract edged higher from Friday’s close. We doubt how long the bullishness can sustain given continued deterioration of the sovereign debt condition in the Eurozone.

More here: 
Fitch’s and Moody’s Downgrades Suggest Positive Sentiment Should be Short-lived