Fitch downgrades Brazil debt to junk as crisis deepens

[BRASILIA] Fitch Ratings stripped Brazil of its coveted investment grade rating on Wednesday, the second agency to do so this year as Latin America's biggest economy sinks deeper into its worst recession in a generation.

The deeper-than-expected recession, adverse fiscal developments and increased political uncertainty led to the downgrade, Fitch said in a statement. Rival agency Standard & Poor's downgraded Brazil to junk this year.

REUTERS