The ratings on New York City, N.Y.'s bonds have been placed on CreditWatch with positive implications. The affirmed ratings remain on CreditWatch with positive implications, where they were placed February 1998. Standard&Poor's expects to take the city off CreditWatch in the near future following its analysis of the city's adopted budget for fiscal 1998, which began July 1. The fiscal 1998 budget, which ended June 30, 1998, produced the largest surplus on record of just over $2 billion dollars, marking the second year in a row with a record surplus. Technically these funds were spent in fiscal 1998 to prepay debt service for fiscal 1999. As a result, the formal audit, due out in October 1998, will show
