Moodys Investors Service cut its outlook for Chinese sovereign bonds to negative, underscoring deepening global concerns about the level of debt in the worlds second-largest economy.
Moodys lowered its outlook to negative from stable while retaining a long-term rating of A1 on the nations sovereign bonds, according to a statement. Chinas usage of fiscal stimulus to support local governments and its spiralling property downturn is posing risks to the nations economy, the grader said.
In October, Chinese President Xi Jinping signalled that a sharp slowdown in growth and lingering deflationary risks wont be tolerated. Bloomberg
The government pushed back soon after the outlook change w…
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