Moody's poor work of rating

Comments on Michael Stutchbury “Downgrade points to risk, but banks still AA”, 19/05/2011, http://www.theaustralian.com.au/business/opinion/downgrade-points-to-risk-but-banks-still-aa/story-e6frg9p6-1226058539934

This is another poor rating by an old rating agency.

Those rating agencies have completely lost their creditability.

They almost universally missed the global financial crisis in terms of large countries and big global banks and financial institutions.

Now they are cutting the ratings for world’s best banks whose profits have been good including the period during the dark times of the GFC. Their profits are record and increasing.

What the Moody's credit downgrade does is to increase the costs of Australia's big banks unnecessarily and with it the costs to their customers/borrowers.

The rating agencies need to be rated and best be discarded altogether!

They are as incompetent as any poor performing agencies or firms in the world.