S&P Junks Russian Debt

S&P has downgraded Russian sovereign debt, as the company lowered Russia's credit rating to BB+. Although Moody's and Fitch still have a BBB- rating on Russian debt, both companies are expected to follow suit and downgrade Russian debt soon. The downgrade is due to the bleak economic growth prospects for the country. As a result, Russian corporations will likely have a more difficult time refinancing as the credit markets in Russia tighten as a result of the downgrade.