SÃO PAULO — Stocks and bonds of Brazilian state-controlled oil giant Petrobras slumped on Wednesday, after Moody’s stripped the company of its investment grade rating.
Petrobras shares on the São Paulo Bovespa stock exchange fell sharply on opening, and were still down 7 percent by 1 p.m. in the city (GMT1600), with the Ibovespa index down more than 1 percent at the same time.
The New York-based credit ratings agency announced late on Tuesday its decision to downgrade Petróleo Brasileiro SA, as Petrobras is formally known, by two notches from Ba2 to Baa3 — from investment grade to speculative or “junk” territory. Read Full Article
Ben Tavener 