Don't miss

Replay


LATEST SHOWS

ACROSS AFRICA

Congolese king of rumba Papa Wemba is buried in Kinshasa

Read more

EYE ON AFRICA

Kenya announces plan to stop hosting Somali refugees

Read more

MEDIAWATCH

Trump's Tacky Taco Tweet

Read more

THE WORLD THIS WEEK

Trump trumps GOP rivals, French labour law debated in parliament (part 1)

Read more

THE WORLD THIS WEEK

Erdogan continues journalist crackdown, Sadiq Khan elected London Mayor (part 2)

Read more

REPORTERS

Palestinian ‘knife intifada’ reflects a generation's despair

Read more

YOU ARE HERE

The secrets of a pipe maker in Paris

Read more

FOCUS

Philippines: Son of late dictator Marcos leads opinion polls

Read more

#TECH 24

Money from heaven

Read more

An overview of the stories making the French and international newspaper headlines. From Monday to Friday live at 7.20 am and 9.20 am Paris time.

IN THE PAPERS

IN THE PAPERS

Latest update : 2011-08-12

Financial crisis: errors creep in

How much impact did a Mail on Sunday piece have on Société Générale's share tumble earlier this week? The French press leads on the economic turmoil as French banks feel the heat, slapping a triple zero rating on the credit ratings agencies along the way. That's the focus for Friday, 12th August, 2011.

France’s front pages cover the market turmoil, with France’s banks in the line of fire. La Tribune and Le Figaro both lead on that. Société Générale has been the worst affected by the rollercoaster ride. It was obliged this week to deny its financial stability was at risk. As James Creedon reported in our Media Watch slot on Thursday, the UK’s Mail on Sunday may have inadvertently caused Société Générale’s stocks to plummet when it said the bank was in a 'perilous' state and possibly on the 'brink of disaster'. It’s been suggested the Mail on Sunday picked that up from a “Summer Fiction Series” in Le Monde, in which Le Monde imagines a situation in 2012 where the euro might have collapsed.

L’Expansion.fr points out that the bank's share value sank on Wednesday even after the Mail on Sunday issued an apology. It adds that an accumulation of bad news for Société Générale gave the rumour credibility.

Le Figaro's coverage includes a piece entitled: "When Twitter and the craziest rumours steer the markets". It reports that a series of tweets on Wednesday afternoon raised the prospect of a Soc Gen bust over the space of a few hours, so much so that it seemed probable. As a consequence, the bank lost more than 20% of its share value.

The Journal du Dimanche website asks Le Monde whether it has been in touch with the Mail on Sunday, which replies that all will be revealed in its Saturday edition. Le Monde, in the interview, says it had no way of knowing in May, when it prepared the Summer Fiction series, that its catastrophic scenario could cause crossed wires just weeks later.

The left-wing paper Libération headlines “Triple Zero”. It has a two-page report into what it says is the hidden face of the credit ratings agencies "panicking the planet". It says the analysts working for them are “eggheads” who work to speed, more so than analysts at the IMF and World Bank. And it quotes an economist saying Standard & Poor’s is more focused on short-term economic shifts, which explains why it changes its ratings more often than the other two (Moody's and Fitch). The paper reports that workloads have doubled for the credit ratings' agencies. There is under-staffing, and errors creep in.

By Nicholas RUSHWORTH

COMMENT(S)

Archives

2016-05-06 Kim Jong-un

'No weddings, no funerals in North Korea so Kim Jong-un can party'

South Korea's Chosun Ilbo reports that Pyongyang has "press-ganged the North Korean population into sprucing up the country" for this weekend's party congress. The pressures to...

Read more

2016-05-06 French politics

Hollande, the lucky president

French President François Hollande marks four years in power this Friday May 6. Le Parisien-Aujourd'hui-en-France says he has counted on his lucky star and gives examples. Les...

Read more

2016-05-05 Donald Trump

'Time for a third party'

We look at reaction in the Miami Herald, LA Times and Washington Post to Trump's latest win in the primaries for the Republican nomination. The Guardian has a comment piece...

Read more

2016-05-04 US Presidential Election 2016

'It’s Donald Trump’s Party Now'

INTERNATIONAL PAPERS - Weds. 04.05.16: US politics is in the spotlight. Last night, Republican hopeful Ted Cruz dropped out of the presidential race. His exit leaves Donald Trump...

Read more

2016-05-04 François Hollande

Candidate Hollande hits the campaign trail

FRENCH PAPERS - Weds. 04.05.16: French papers focus on a speech François Hollande made yesterday. Officially, the president was commemorating a chapter of political history but...

Read more