Moody's downgrade of the United States rating results in the downgrade of major bank deposit ratings.

Moody's downgraded the deposit ratings of some large banks including Bank of America and JPMorgan Chase, citing the downgrade of the US rating last Friday and the weakening ability of the government to support these companies. Moody's downgraded the long-term deposit ratings of Bank of America, JPMorgan Chase and subsidiaries of Wells Fargo by one notch to Aa2, the third-highest level. In addition, Moody's also downgraded the senior unsecured debt ratings of some subsidiaries of Bank of America and Bank of New York Mellon from Aa1 to Aa2. Furthermore, Moody's also downgraded the long-term counterparty risk ratings of subsidiaries of Bank of America, Bank of New York Mellon, JPMorgan Chase, State Street Bank and Wells Fargo by one notch to Aa2. This is the latest example of a chain reaction triggered by Moody's sovereign credit rating downgrade. Moody's has stripped the US of its highest credit rating, downgrading it by one notch to Aa1, blaming the expanding budget deficit on past administrations and Congress, stating that there is little sign of this trend abating.