S&P cut France, Austria, Malta, Slovakia and Slovenia by one notch,
stripping France and Austria of rare triple-A ratings that were key to
their ability to support efforts to rescue struggling euro zone members.
The ratings agency also downgraded by two notches Italy, Spain, Portugal
and Cyprus. Portugal and Cyprus were cut to junk status.
There’s no panic selling in Europe’s major indices. DAX, CAC and FTSE
closed only with minimal loses, not even 1% loss.
Dow also bounced at 12,300 support.
Since most of our index-stocks are already at overbought levels, expect
some profit taking on Monday.
The downgrade will be a good excuse for PSEi to take a breather after its
Watch 4500-4550 levels.
Profit taking or opportunity to buy?
Btw, others are saying that I’m too bullish on PGOLD. Now read Facelesstrader’s blog