Standard & Poor’s may be doing something that feels insensitive, but how can you blame them after everything you have seen in the news. The credit ratings agency has downgraded Egypt. The long-term credit ratings were cut to “B” and the out outlook is unfortunately Negative. That implies another downgrade is possible or even likely ahead. S&P cited ongoing political uncertainty that is gripping the nation and also the sharp decline in the foreign exchange reserves. The nation also faces a weakening of its sovereign flexibility policy, and that might remind you of something similar to an Island in the Mediterranean which is a member of the PIIGS. The nations financing risks have now risen substantially.
The Market Vectors Egypt Index ETF (NASDAQ: EGPT) is the only direct Egypt ETF or Fund and it has not yet started to indicate its price. At a close of $12.20 on Thursday, the 52-week trading range is $9.24 to $19.78.
Egypt is rapidly looking like it is no better off than it was before. In fact, it looks much worse now from an outsider’s point of view.
JON C. OGG
Take This Retirement Quiz To Get Matched With An Advisor Now (Sponsored)
Are you ready for retirement? Planning for retirement can be overwhelming, that’s why it could be a good idea to speak to a fiduciary financial advisor about your goals today.
Start by taking this retirement quiz right here from SmartAsset that will match you with up to 3 financial advisors that serve your area and beyond in 5 minutes. Smart Asset is now matching over 50,000 people a month.
Click here now to get started.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Editors' Picks
