Greece debt crisis continues

Moody’s (NYSE:MCO) downgraded the government debt of Greece from A1 to A2. Very few economists or bankers will be surprised. Greece is dealing with a shrinking economy and growing national debt and budget deficits. It problems are no different than most other nations, including the US. The economies of more economically sound countries are not being affected by concerns of credit agencies, at least not yet.

CRISIS: Greece is in liquidation right now

Greece pledged on Thursday to sell off state assets and make deeper deficit cuts, as bonds and bank stocks took another hammering and communist strikers marched on parliament in protest at austerity plans.

The risk premium on 10-year government bonds over benchmark German Bunds hit its highest level since April after a second credit rating downgrade in a week highlighted a lack of trust in a country set to become the euro zone's most indebted next year.