US banks may be downgraded by Moody’s

Bloomberg

US banks may be downgraded by Moody’s Investors Service in wake of Federal Reserve’s rate cut and as the worldwide coronavirus pandemic rattles markets.
The outlook for lenders was changed to negative from stable, Moody’s said.
Moody’s cited “the growing strain on banks’ operating environment and asset risk from the coronavirus disruption of economic and business activity.”
Major US stock indexes have declined at least 23% this year as virus takes hold, and business activity nationwide has been dampened.
“The Federal Reserve’s emergency rate cut to zero will raise the pressure on profitability, but the quantitative easing will support banks’
already strong liquidity,” Moody’s said.