Moody's confirms Germany's 'Aaa' rating, negative outlook

The international ratings agency Moody's confirmed on Thursday its top "Aaa" rating on German sovereign debt, albeit with a negative outlook, pointing to the country's well-balanced economy and record of fiscal discipline, a day after rumours over a possible German downgrade had rocked European stock markets.

Germany's rating "is underpinned by the country's advanced, diversified and highly competitive economy and its track record of stability-oriented macroeconomic policies. Moreover, Germany enjoys high levels of investor confidence, which is reflected in very low debt funding costs," a Moody's statement said.