Moody's Investors has downgraded the credit rating of Mexican state oil company Pemex.
More than 100 energy companies have had their credit ratings put on review for possible downgrade by Moody’s Investor Service. Shell, Total and Statoil are included in the move as oil prices are expected to recover more slowly than companies expect.
Investors in the pound have waited more than six years for the Bank of England to raise interest rates and bolster the UK currency. With money markets signaling no move next year, it looks like they may have longer to wait.
The UK has seen its top rating for energy supplies downgraded in an international assessment, amid uncertainty over Government policy. The World Energy Council’s annual “trilemma” index, which looks at how 130 countries are meeting the triple challenge of ensuring secure, affordable and sustainable energy supplies, has revised the UK’s AAA rating of previous years to an AAB grade. The trilemma report said the UK’s ranking had slipped as electricity became comparatively more expensive, although its security of supplies and environmental performance remained stable.
The Ibovespa fell for a second day, led by Petroleo Brasileiro SA, after Finance Minister Joaquim Levy said that a credit downgrade by Moody’s Investors Service is more likely if Brazil doesn’t make economic adjustments. Traders also pushed down the value of shares after newspaper Folha de S Paulo reported Saturday that lower house President Eduardo Cunha would rebel against the administration by blocking a fiscal-austerity package designed to shrink the budget deficit. His announcement escalated a political crisis that already had driven President Dilma Rousseff’s popularity to a record low and revived talks of impeachment.