Credit rating agency Moody’s warned that a full-scale military conflict involving Israel and Hezbollah or Iran could result in "significant credit consequences" for Israel’s bondholders, Israeli media reported on Tuesday.
According to the reports, Moody's also addressed Israel's recent pre-emptive strike on Hezbollah earlier this week, saying, "The exchange of fire between Israel and Hezbollah signals an escalation, though the economic impact remains limited and is accounted for in our baseline scenario."