Soros bets against Euro

[Jan Klimkowski]

International credit ratings agency Fitch has just declared a Greek default inevitable.

Note particularly that any imposition of a haircut on senior bondholders (ie any threat that this class of creditors has to share in the losses) will be viewed as a default event.

:flames:

If in Fitch's opinion, an announced exchange offer constitutes a DDE, the sovereign issuer rating will be lowered to 'C', indicating that default is highly likely in the near term
Fitch will place the issuer rating of the sovereign into default, specifically 'Restricted Default' (RD) upon closing of a distrssed debt exchange.
Fitch says a potential Greek debt exchange if voluntary, could still be considered a default event
Fitch says Greek debt exchange would be a default if bondholders terms were worse than original terms
Fitch says stressed sovereign debt exchange with worse terms is a technical default even if deemed voluntary

Source: Zero Hedge.