Fitch submarines pound by placing UK on Ratings Watch Negative

Author: Adam Button | Category: News
  • Fitch places UK on ratings watch negative
  • See ‘heightened probability’ of downgrade in near term
  • Expects to complete its review of the UK’s rating by the end of April
  • Ratings Watch Negative reflects the latest economic and fiscal forecasts from the OBR
  • Forecasts indicate govt debt will peak later and at a higher level than previously expected by Fitch
  • Full text of the statement

Cable immediately dropped a half-cent to 1.5191 but has bounced to 1.5219. I think you can pretty much take it to the bank that Fitch will downgrade the UK.