After suffering a losing streak for several days, the Indian rupee received some respite on Tuesday, after the announcement of Moody's decision to maintain India's sovereign rating at `Baa3' and outlook at 'stable'.
In its `Credit Analysis on India' report, Moody's attributed it stable outlook on India's rating to the country's strong GDP growth, high rates of savings and investment.
Ratings agency Moody's on Tuesday maintained its outlook on India's sovereign rating at 'stable', but also warned that the country's rating was constrained by several credit challenges.
Ratings agency Moody's on Tuesday retained its outlook on India's Baa3 sovereign rating at 'stable', thanks partly to the country's high savings and investment rates.
Moody's said that India's Baa3 sovereign rating was supported by various credit strengths such as strong gross domestic product (GDP) growth and better rates of savings and investments.
Global ratings agency, Moody's has said that the Indian economy might have grown at the rate of 5.5 per cent in the second quarter of the financial year.
The agency also said that the hike in investor sentiment due to the recent reforms has faded and the `reality of India's deep-seated structural problems' are beginning to settle. Moody's said that the steps taken by the Indian government will help reduce the risks to the economy but will not be able to improve mid term outlook.
Socialist President Francois Hollande efforts to convince the world that he can rejuvenate France's stalled economy suffered a big blow after rating agency Moody's stripped the country of its coveted AAA rating.
Moody's credit rating agency downgraded France's rating by one notch from AAA to AA1, citing a doubtful fiscal outlook and worsening economic condition.
International ratings agency, Moody's Investors Service has said that it is reviewing long-term ratings of six Canadian banks and warned that the customers should be prepared for some downgrades.
The agency is reviewing ratings for Bank of Montreal, Bank of Nova Scotia, Caisse Centrale Desjardins, Canadian Imperial Bank of Commerce, National Bank of Canada and Toronto-Dominion Bank. Any downgrade would increase the cost of borrowings for the banks that are already facing a difficult market situation.
International rating agency, Moody's has downgraded Tata Power's corporate family from the B1 rating earlier to Ba3.
The shares of Tata Power Ltd, which is the largest private-sector power utility in India, fell 2 per cent after the downgrade by the rating agency. The shares of the company were trading 2 per cent lower at Rs 101.90. the shares have touched a low of Rs 101.30 and a high of Rs 103.50 during the day.
The Moody's Investors Service has said that the total capital shortfall of the banking sector in Spain could touch $135 billion or 105 billion euros, which about double the amount estimated by the government in the previous week.
According to the latest estimates, the banks in the country might need infusion of between 70 billion euros and 105 billion euros for absorbing losses and making sure that their capital ratios do not go under the threshold set by the lawmakers in the previous year.
Credit ratings agency Moody's Investor Services has warned the government that any rollback of the diesel price hike would limit its subsidy reduction plan.
Last week, the government hiked the price of subsidized diesel by Rs 5 a litre, in a move that triggered a wave of severe criticism from the BJP-led Opposition as well as some of its estranged allies like Trinamool Congress.
Analysts at global rating firm, Moody's have said that actions taken by the White House and Capitol Hill to address the issue of large federal debt will determine the ratings for the US economy.
Analysts at Moody's Investors Service said that the actions taken by the authorities to reduce debt will determine the company will change its ratings outlook for U. S. government debt. The current rating is AAA with a `negative' outlook.
The Reserve Bank of India's (RBI's) move to limit banks' exposure to their own group financial and non-financial entities will hurt group companies, global credit rating agency Moody's warned.
If implemented, the guidelines would limit to 5% of paid-up capital and reserves of a bank's exposure to a single group non-financial entity. The maximum exposure to a regulated financial services company would be 10%.