S&P Downgrades 15 Banks

    NEW YORK, NY - AUGUST 10:   Standard and Poor's headquarters are seen in Manhattan on August 10, 2011 in New York City. Worldwide markets remain turbulent days after Standard and Poor's downgraded the debt rating of the United States.

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    Don’t mess with Standard & Poor’s. The credit agency cut its long-term credit ratings for 15 banks Tuesday, including U.S. institutions Bank of America, Citigroup, Goldman Sachs, Morgan Stanley, and JPMorgan Chase. The one-grade lowering comes after an overhaul of the method used to grade banks—because of criticism for its slow response during the 2008 crisis. A few months ago, the agency Moody’s downgraded Bank of America, Citigroup, and Wells Fargo. Bank of America’s stock plummeted Tuesday, nearly falling below $5. If the bank reaches that new low, many think investors will quickly sell, further damaging the bank.

    Read it at New York Times