Egyptian Bonds Plunge After Moody’s Cuts Rating Deeper Into Junk
- Ratings firm downgrades Egypt’s sovereign deeper into junk
- IMF’s chief says Egypt to ‘bleed’ reserves without devaluation
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Egypt’s dollar bonds slumped after Moody’s Investors Service downgraded the country’s ratings to one of the lowest rungs of speculative grade and the International Monetary Fund’s chief urged another devaluation.
The bonds were among the biggest losers across emerging markets on Friday, falling even deeper into distressed territory, before trimming losses. Moody’s lowered its assessment of Egypt’s sovereign debt by one notch to Caa1.