China’s Dagong Cuts U.S. Credit Rating After Debt Limit Raised

China’s Dagong Global Credit Rating Co. cut its sovereign rating for the U.S. hours after President Barack Obama signed legislation raising the federal debt limit.

Dagong, one of China’s four biggest credit rating companies, downgraded the local and foreign currency credit ratings of the U.S. to A- from A, maintaining a negative outlook, the company said in an e-mailed statement yesterday. That’s below Dagong’s rating of Botswana, which has a A rating, and puts the U.S. on par with Brazil.