Moody’s cuts China credit outlook to negative on rising debt

News Snapshot:

(Bloomberg) — Moody’s Investors Service cut its outlook for Chinese sovereign bonds to negative, underscoring deepening global concerns about the level of debt in the world’s second-largest economy. Most Read from Bloomberg Moody’s lowered its outlook to negative from stable while retaining a long-term rating of A1 on the nation’s sovereign bonds, according to a statement. China’s usage of fiscal stimulus to support local governments and its spiraling property downturn is posing risks to the nation’s economy, the grader said. The change in thinking comes as China’s deepening property rout triggers a shift toward fiscal stimulus, with the country ramping...