JPMorgan Trading Loss Drove Three-Level Standalone Cut

JPMorgan Chase & Co.’s $2 billion trading loss in its chief investment office was an “important factor” in Moody’s Investors Service’s decision to cut the lender’s standalone credit rating by three levels.

JPMorgan was among 15 global banks downgraded yesterday and one of the three strongest evaluated by Moody’s, the ratings firm said in a statement. The New York-based bank’s standalone assessment fell to a3 from aa3 and would have been even lower without implicit support from the federal government, Moody’s said.