Net rating activity turned negative last week, with downgrades nearly doubling from the previous week. Activity was concentrated in the U.S., which accounted for more than two-thirds of rating actions. It was a busy week for rating transitions, both negative and positive, with one fallen angel and four rising stars. Two of the new rising stars were from Oman, including the sovereign. The number of rising stars for this year now stands at 26, which is double that of fallen angels. All four defaults last week where selective defaults. Three were on U.S.-based issuers, all of which were due to distressed exchanges.