AUD traders - Moody's downgrades Australian states' outlook to 'negative'
The local press here in Australia, Australian Financial Review with the report:
- Ratings agency Moody's has downgraded its outlook for state governments
- from "stable" to "negative"
- citing lower tax collection, higher debt will dampen revenues and the ability to keep their economies growing
Moody's further notes
- public spending on infrastructure is "underpinning economic activity"
- and is "increasingly funded through rising debt burdens"