Russia Credit Rating Cut to Junk by S&P First Time in Decade - Bloomberg

Russia Credit Rating Cut to Junk by S&P First Time in Decade - Bloomberg:



"Russia’s foreign-currency credit rating was cut to junk by Standard & Poor’s, putting it below investment grade for the first time in a decade.



S&P, which last downgraded Russia in April, cut the sovereign one step to BB+, according to a statement released on Monday. The grade, which is on par with Bulgaria and Indonesia, has a negative outlook. Russia’s local currency ratings were reduced to BBB-, the lowest investment grade.



The world’s biggest energy exporter is on the brink of a recession after oil prices fell to the lowest since 2009 and the U.S. and its allies imposed sanctions over President Vladimir Putin’s actions in Ukraine. The penalties have locked Russian corporate borrowers out of international debt markets and curbed investor appetite for the ruble, stocks and bonds."



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