Analysts cry foul over Moody’s Depfa ACS cut

Not for the first time this month, analysts have been trying to get to grips with Moody’s rating actions, this time the downgrade of Depfa ACS Bank’s public sector covered bonds and Hypo Real Estate Bank International’s mortgage Pfandbriefe yesterday (Tuesday). Affecting more than Eu50bn of outstanding covered bonds, the downgrades are the most significant in the market since the crisis struck in summer 2007, but one analyst even called them irresponsible.