S&P cuts Brazil credit rating to BB+ (from BBB-), outlook negative

Headlines on Reuters

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Bloomberg isn't quite so restrained:

  • Brazil cut to junk by S&P

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More:

  • Lowering the long-term foreign and local currency sovereign ratings on Brazil to 'BB+' and 'BBB-', respectively
  • Negative outlook reflects belief greater than one-in-three likelihood of further downgrade due to deterioration of brazil's fiscal position
  • Political challenges Brazil faces have continued to mount, weighing on the government's ability and willingness to submit a 2016 budget