China's Ministry of Finance said that Moody's downgrade of China's sovereign bonds misses the bigger picture and will have little impact on financial markets. 

In a statement on Wednesday, the ministry said China's stock and bond markets and the onshore and offshore yuan exchange rates, remained stable after the downgrade. It said THAT indicates investors are confident about China's economy. The ministry also said local government debt level and corporate leverage ratio are both below the international warning line. It also said the government is taking active measures to help ease pressure. Moody's revised China's credit rating outlook to negative from stable earlier this month. The ratings agency made the decision based on a weakening of fiscal metrics, a fall in forex reserves and uncertainty over economic reforms.