Fitch Cuts France Outlook to Negative and S&P Does the Same to Meta on the Same Day

Fitch Ratings revised France's sovereign credit outlook to negative from stable on October 30, while affirming the country's A+ long-term rating. The agency cited conditions that have deteriorated since its August 2026 review, pointing to weaker economic growth, higher borrowing costs, and a wider fiscal deficit as the key drivers. France had narrowly avoided an outlook cut at Fitch's August review, when analysts had flagged that a move to negative could not be ruled out given mounting debt and political uncertainty under the Lecornu government.

Separately on the same day, S&P Global Ratings revised its outlook on Meta Platforms to negative, keeping the underlying credit rating intact. S&P cited uncertainty around Meta's sharply elevated capital expenditure program and its effect on free cash flow. Meta projected 2026 capex of $135 billion to $145 billion, roughly double the $70 billion it spent in 2025, as the company ramps spending on AI infrastructure. The agency flagged that free cash flow had turned negative, raising concerns about financial flexibility and borrowing costs going forward.