Moody’s Downgrades Three US Banks

0
Moody’s Investor Service has downgraded the debt ratings of three major US banks, amid worries over the lack of government support for top lenders in case of crisis.

Moody’s on Wednesday downgraded the long-term debt ratings for Bank of America and Wells Fargo Bank, AP reported.

The credit rating agency also downgraded the short-term debt rating of Citigroup.

In addition, the agency gave all three banks a negative outlook.

Moody’s said a reason for its decision was the increased likelihood for the US government to let large banks fail during a financial crisis “as the risk of contagion become less acute.”

It further added that lenders are still exposed to risks stemming from the US mortgage crisis.

For more on this go to the source of this article here:  www.presstv.ir/detail/200480.html

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