European shares hit by Moody's US warning

European shares resumed their downward journey this morning after gains in the previous day, with investors dumping riskier assets on Moody's warning the United States may lose its top credit rating if lawmakers fail to hike the country's borrowing limit.

14 July 2011, 12:00am

At 8:09 a.m, the FTSEurofirst 300 <.FTEU3> index of top European shares was down 0.7 percent at 1,091.05 points. It rose 0.7 percent yesterday after declines in the previous three straight sessions. The index is down 2.1 percent this week.

Moody's said late yesterday it saw a rising possibility that the statutory U.S. debt limit will not be raised on a timely basis, leading to a default on U.S. Treasury debt obligations.

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Now you know why so many companies want to buy your old gold, silver and other precious metals because the € and also the US$ are going down the drain. The US deficit is ġprojected to be 1.5 TRILLION and it is already very near 1 Trillion while the general deficit was more than 50 BILLION in May. http://finance.yahoo.com/news/Budget-deficit-on-track-to-apf-957477153.html?x=0 Budget deficit on track to top $1 trillion http://www.bbc.co.uk/news/business-14121300 US trade deficit widens to more than $50bn in May