Portugal upgrade marks PIIGS turnaround
Fitch upgraded Portugal debt last week in the latest sign of recovery for former PIIGS nations. While these economies improved budgets, bond markets now pressure Germany and France amid rising debt.
Portugal secured a second sovereign debt upgrade in a year from Fitch, completing a historic turnaround for the euro zone states once branded as PIIGS during the 2011 debt crisis. Global bond markets are facing fresh strains from rising inflation and mounting United States debt, upending traditional credit hierarchies. Former crisis laggards now trade at stronger yields than core economies like France.
