Moody's warns of China's credit downgrade amid mounting growth and property pressures

Moody's has issued a downgrade warning on China's credit rating, citing the costs of bailing out local governments and state firms, as well as the challenges in controlling the property crisis. The ratings agency lowered the outlook on China's A1 debt rating to "negative" from "stable," expressing concerns about the country's fiscal sustainability and medium-term economic growth. China's Finance Ministry called the decision disappointing and stated that the economy would rebound. The property crisis and local government debt worries are seen as controllable.