Moody’s warns on Banks’ credit ratings
Moody’s, the credit rating agency, has declared that it could possibly cut the credit ratings of 17 banks and other financial institutions that currently being analyzed by Moody’s.
Moody’s reported Morgan Stanley, UBS and Credit Suisse could possible have their credit ratings cut by three levels.
It explained that the banks’ current credit ratings did not influence the challenges that they have been confronting in the capital market.
Nine of the banks are located inEurope, such as Barclays, HSBC and RBS.
The credit rating agency said it would review its grades for some financial institutions, including Bank of America and Nomura.
“The combination of changed operating conditions and increased regulatory requirements and restrictions has diminished these firms’ longer-term profitability and growth prospects,” Moody’s said in the statement Wednesday.
