Raman signal is monitored after 248 nm photodissociation of formaldehyde in solid Ar at temperatures of 9–30 K. Rotational transitions J = 2 ← 0 for para-H2 fragments and J = 3 ← 1 for ortho-H2 are observed as sharp peaks at 347.2 cm−1 and 578.3 cm−1, respectively, which both are accompanied by a broader shoulder band that shows a split structure. The rovibrational spectrum of CO fragments has transitions at 2136.5 cm−1, 2138.3 cm−1, 2139.9 cm−1, and 2149 cm−1. To explain the observations, we performed adiabatic rotational potential calculations to simulate the Raman spectrum. The simulations indicate that the splitting of rotational transitions is a site effect, where H2 molecules can reside in a substitution site, in addition to an interstitial site. In the former site, rotational motion is unperturbed by the electrostatic field of the host atoms, while the latter site splits the excited rotational manifolds, J = 2 and 3, into doublet and triplet structures, respectively. For CO, the spectrum can be ascribed to monomeric species in single- and double-substitution sites, to a dimeric species (CO)2, and to a CO–H2O complex. The simulations show that a nearest-neighbor molecular complex CO–H2 is not responsible for any of the observed spectral fingerprints. The cause of the exit of the molecular hydrogen from the initial cage can be traced to high translational energy of the fragment after the photodissociation. After the matrix has reached a thermal equilibrium, a diffusion driven formation of the complex is possibly hindered by the high rotational zero-point energy developed upon complexation.