Moody’s Ratings has downgraded the deposit ratings of major U.S. banks, including Bank of America Corporation (NYSE:BAC), JPMorgan Chase & Co. (NYSE:JPM), and Wells Fargo & Company (NYSE:WFC), following the recent downgrade of the U.

An economist explains why the recent credit rating downgrades for major U.S. banks might not carry a big impact.

Moody’s Ratings on Monday downgraded the long-term ratings of several of America’s largest banks, including JPMorgan Chase & Co (NYSE:JPM), Bank of America Corp (NYSE:BAC), and Wells Fargo & Company (NYSE:WFC), citing weakened prospects of federal ...

Stocks slumped at the open of trading on Monday after a downgrade of U.S. credit triggered a spike in debt yields that threatened to raise borrowing costs throughout the nation's economy. The Dow Jones Industrial Average dropped 295 points, or 0.7%, while the S &P 500 fell 0.9%. The tech-heavy Nasdaq plunged 1.2%.

Wall Street's major indexes trade muted on Monday after Moody’s Ratings downgraded the United States' last remaining top-tier credit rating, raising fresh concerns about the nation's fiscal outlook and debt management.

In a Friday night surprise, Moody's (NYSE: MCO) downgraded the credit rating of the United States government one notch from "Aaa," its highest rating, to "Aa1." Moody's has 21 grades in its ratings scale.