Italy’s Rating Cut by Fitch as Election Threatens Gridlock
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Italy’s credit rating was cut one level by Fitch Ratings as an inconclusive election in February produced political paralysis that threatens the country’s ability to respond to a recession and the European debt crisis.
The rating company lowered Italy’s government bond rating to BBB+ from A- with a negative outlook, according to a statement released late yesterday. That’s three levels above junk and one higher than Spain, according to data compiled by Bloomberg.