Inside Credit: Fitch's Rating Actions on Global Banks Driven by Support Revision

The latest edition of Inside Credit features Fitch's rating actions on global banks.

On Tuesday, May 19, 2015, Fitch took various rating actions on banks in the European Union, Norway, Switzerland, the U.S., Canada and Hong Kong following a review for sovereign support globally. These actions include affirmations, downgrades and upgrades of Issuer Default Ratings (IDRs) depending on specific circumstances. They also include changes to Support Ratings, Support Rating Floors and Viability Ratings.

In line with its expectations announced in March last year and communicated regularly since then, Fitch believes legislative, regulatory and policy initiatives have substantially reduced the likelihood of sovereign support for commercial banks in the European Union, Hong Kong, Switzerland and the U.S.. This is being balanced to a large extent by strengthened balance sheets and buffers to senior debtholders at banks, and progress with these is being taken into account in our ratings.

A full list of rating actions taken during this review is available in this week's newsletter and on www.fitchratings.com.

Other topics covered in this week's edition of Inside Credit include:

--U.S. Investors Less Bullish on Economic Outlook; Expect Corporate Leverage to Rise

--Opportunities and Risks Abound in China's Corporate Bond Market

--Valuations Challenge Supply in European Leveraged Loan Market

--Renminbi Corporate Bond Market Opening Up, Diversifying

--More Investment Grade AT1s on Strong Europe Issuance

--China Policy Shift Prioritizes Growth over Debt Problem

--Insurers' Aggregation Risk on Cyber Claims in Check

--Red Flags Hint at Infrastructure Political Risk in Europe

--U.S. Credit Card Asset Quality Expected to Slowly Normalize

--Brazil's Banks Adding Risk to Payroll Loan Portfolios

--Moderate First Quarter Turkish Loan Growth Mildly Credit Positive

--China Macro Update

--Why Social Gaming Is a Threat to Casinos

'Inside Credit' is a weekly snapshot of Fitch Ratings' noteworthy content, selected from all sectors and regions. To receive the weekly edition, distributed every Friday at 8am ET, please sign up here: http://pages.fitchemail.fitchratings.com/InsideCreditSignUp/

Additional information is available on www.fitchratings.com

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