24 Jul 2012

German outlook cut by agency

12:28 pm on 24 July 2012

Moody's Investors Service has cut the outlook on Germany's credit rating of AAA from stable to negative.

The agency also downgraded the sovereign ratings of the Netherlands and Luxembourg, citing rising uncertainty over the outcome of the eurozone debt crisis.

There are fears the move could precede a full-blown downgrade for Germany, marking a grim turn for the country which is seen as the safeguard of financial stability in Europe.