Covered bonds hit by rating downgrades

Moody’s downgraded Bradford & Bingley’s covered bonds to A1 this morning, following on from its move on the senior unsecured rating yesterday. Meanwhile, Fitch and S&P have downgraded HBOS, which Lloyds TSB is reported to be eyeing for a takeover and, across the Atlantic, Washington Mutual Bank was also downgraded this week by S&P. Read EuroWeek on Friday to find out more about this week’s series of rating actions.