Morning Market Roundup: Moody’s Reviews Top Banks, Google-Motorola Deal Under Review

Moody’s: The credit rating agency has warned it may cut the credit ratings of 17 global banks and 114 European financial institutions in response to the spread of the eurozone’s debt crisis. In a statement by the agency, it said of the cuts, “Capital markets firms are confronting evolving challenges, such as more fragile funding conditions, wider credit spreads, increased regulatory burdens and more difficult operating conditions.”

U.S. banks currently being reviewed include Bank of America, Citigroup, Goldman Sachs, JPMorgan Chase, Morgan Stanley and Royal Bank of Canada.

EU: Greece believes it has met European Union and IMF demands for a rescue plan to avoid a March default and hopes it will be approved on Monday. Eurozone officials have said not so fast and are reviewing options to either delay some or all of the plan until after elections. Meanwhile, the Troika may stage a permanent presence in Greece and create an escrow account for funds, ensuring payment of Greece’s debt.

China: China’s Anti-Monopoly Bureau is conducting a routine review for Google’s $12.5 billion acquisition of Motorola. China is expected to approve the transaction but it has a March 20 deadline either for a decision or to add an additional phase of the process. Under Chinese law, according to Reuters, enterprises running businesses in China that earn global annual revenues of ¥10 billion ($1.55 billion) and ¥400 million in China have to gain government approval for proposed acquisitions.

Earnings: On Wednesday, CBS reported its fourth quarter earnings and saw higher fees from pay-TV systems and affiliate stations. This helped increase its net profit by 31 percent to $370 million but revenues dropped 3 percent to $3.78 billion, missing analyst estimates. CBS’s sales numbers dropped from advertising income declines but CBS CEO Leslie Moonves gave a positive forecast and said the network is talking with Netflix to produce a show for them.

[Editor’s note: the above is a cross post that originally appeared on Wall St. Cheat Sheet.]