France, Europe Debt | featured news

Several European countries that banned short-selling have extended the prohibition until the end of September. When concerns about European banks’ exposure to Greek debt sent their stocks plummeting two weeks ago, market regulators in Belgium, France, Greece, Italy and Spain stepped in to prohibit traders from betting on the decline in a share’s price.

The rating agency said a plan proposed by the French government and banks to roll over some debt could fall within the definition of default.

Under the plan, French banks would give Athens more time to pay back loans as they come due over the next three years.