World leaders hold emergency talks on debt crises
World leaders are holding emergency talks today in an effort to stem the fallout from the debt crises brewing in both the US and Europe.
From Friday's downgrade of the US credit rating by Standard & Poor's to how to stop the Italy becoming the next victims of the euro zone sovereign debt troubles; officials have plenty to discuss.
Finance ministers from the Group of 7 nations were expected to speak by conference call before Asian markets open tomorrow. Meanwhile, European central bank governors were expected to hold emergency talks at 6pm Paris time.
Concerns about the outlook of both the US and European economies has already led to steep declines in global stock markets.
S&P late on Friday lowered the US long-term credit rating by one notch from "AAA" to "AA plus" in a move reflecting the weaker fiscal standing of the world's biggest economy. S&P warned the outlook was negative, an indication a further downgrade could happen in the next 12 to 18 months.
Across the Atlantic in the euro zone, Italian Prime Minister Silvio Berlusconi made an unscheduled appearance the same day, pledging further austerity and to balance Italy's budget in 2013.
Published: August 7, 2011 04:00 AM