The Latest: S&P cuts Hong Kong rating after cutting China's

AP News
Posted: Sep 22, 2017 12:07 AM

BEIJING (AP) — The Latest on Standard & Poor's cutting credit ratings for China (all times local):

12:30 p.m.

The Standard & Poor's rating agency has cut its credit rating for Hong Kong a day after downgrading China, citing risks posed by close ties between the two places.

S&P said Friday that it was reducing its long-term rating on Hong Kong by one notch, to AA+ from AAA, reflecting potential spillover risks to the Asian financial center.

It said Hong Kong has a good economic outlook, sizable fiscal reserves and credible monetary policy.

But China's downgrade is "exerting a negative impact" on Hong Kong because of "strong institutional and political ties" between the mainland and Hong Kong, a specially administered Chinese region.

FBI, You Don’t Have That Right
Bruce Bialosky

The agency lowered China's rating one notch on Thursday, saying strong credit growth had raised the country's economic and financial risks and reduced its financial stability.