Australian credit rating put on negative watch by S&P

[BlueKelah]

The political uncertainty and commodity downturn is starting to bite downunder. Perhaps a cut to AAA rating soon as the budget deficit there continues to spiral out of control. AUD should be hit soon.



Australian credit rating put on negative watch by Standard & Poor's

Standard & Poor's has lowered Australia's credit rating outlook from stable to negative, in a warning that the AAA rating is under imminent threat.
It is the first of the big ratings agencies to take any adverse action on Australia's credit rating, despite warnings from all three around budget time that more action was needed to close the Federal Government's budget deficit.

The move leaves Australia's AAA credit rating intact but is a formal warning from S&P that it could be cut if the nation's budget position does not improve.
"There is a one-in-three chance that we could lower the rating within the next two years if we...