On October 13, 2025, Moody's Corporation (MCO) experienced a significant intraday selloff, with its stock price falling by 2.8%. This decline was attributed to two main factors: regulatory penalties and the company's own downgrade of the U.S. credit rating. The U.S. Securities and Exchange Commission (SEC) imposed a $49 million fine on six major credit rating agencies, including Moody's, for failures in maintaining electronic communications. Concurrently, Moody's downgraded the U.S. credit rating to Aa1, a move that contributed to broader market anxiety and negatively impacted investor confidence in the company. The intraday trading volume for MCO surged, indicating heightened volatility surrounding the stock.
Moody's Stock Plunges Amid Regulatory Scrutiny and Downgrade of U.S. Credit Rating
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