Credit cycle turning, say ratings firms

New angles

pg17-guillaume-gif

Ratings agencies are warning that a turn in the credit cycle could be on the horizon, with downgrades projected to outpace upgrades as soon as the third quarter. "We're now seeing more of a downside and downgrades coming through on cyclical sectors. It was pretty much expected from last year when we saw a trough in default rates, but we now see through the rating statistics that the best situation is now past," says Guillaume Menuet, senior economist at Moody's Investors Service.

Dramatic cha

To continue reading...

You need to sign in to use this feature. If you don’t have a Risk.net account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an indvidual account here: