Credit rating firms criticised over financial crisis BBC.com
The behaviour of two credit rating agencies in the run-up to the financial crisis has been criticised by US senators following an investigation.
The Senate committee said Moody’s and Standard & Poor’s instilled “unwarranted high confidence” in certain risky financial products. It also said that they were influenced by the banks that paid their fees.
The committee will hear testimony from current and ex-officials of Standard & Poor’s and Moody’s later on Friday.
‘Massive economic damage’
The Permanent Subcommittee on Investigations committee said the agencies must share some of the blame for the severity of the financial crisis. It also said firms let their drive for profits affect the ratings they issued. Read more bbc.co.uk
