Fitch Ratings Pushes Greece's Debt Deeper Into Junk

Fitch Ratings on Tuesday pushed Greece's government debt further into junk territory, saying the breakdown of the negotiations between the Greek government and its creditors "has significantly increased the risk that Greece will not be able to honour its debt obligations in the coming months, including bonds held by the private sector." A default is now "probable," the ratings agency said. Fitch downgraded Greece's bonds by one notch to 'CC' from 'CCC'. Earlier Tuesday, Standard & Poor's ratings agency downgraded four major Greek banks to selective default, and on Monday the agency also downgraded Greece's debt deeper into junk and said the probability that the country will exit the eurozone is roughly 50%. That one-notch downgrade to triple-C-minus came with a negative outlook.