July 24, 2012 - 7:50 PM
NEW YORK, N.Y. - Moody's Investors Service is lowering to "negative" the outlook for its debt rating for the European currency zone's temporary rescue fund. The rating agency noted the move comes after it lowered the outlook for its ratings on Germany, the Netherlands and Luxembourg.
Germany has a large stake in the €440 billion ($532 billion) rescue fund. As a result it is a significant backer of the fund as Europe's debt crisis deepens. The Netherlands and Luxembourg also have stakes in the fund, though they are much smaller.
Moody's said Tuesday it is revising its outlook to "negative" from "stable" for the top Aaa rating on some of the European Financial Stability Facility's long-term debt. That puts investors on notice that the rating could be lowered.
News from © The Associated Press, 2012