Moody's said it has put Citigroup, Bank of America, and Wells Fargo on review for possible credit ratings downgrades as the US government cuts support for future bailouts.
The deposit, senior debt, and senior subordinated debt ratings of Bank of America Corporation (A2 senior), Citigroup Inc (A3 senior), Wells Fargo & Company (A1 senior), and their subsidiaries could be review downgraded pending the reivew. Moody's said each of these ratings currently incorporates an unusual amount of "uplift" from Moody's systemic support assumptions, which were increased during the financial crisis. It said it is now looking at whether the banks' current ratings should be adjusted to remove this unusual uplift and include only pre-crisis levels of government support. ...
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