Fitch, BRICS, Ukraine: Why US Economic And Political Hegemony Is In Long-Term Decline

Fitch's recent downgrade of US government debt reflects concerns over the country's deteriorating fiscal governance standards and the unlikely prospects of serious fiscal reform, signaling a change in perceptions that may have more damaging effects than the 2011 downgrade by S&P; factors such as broken supply chains, rising inflation, and a shift away from the US dollar as a safe haven currency contribute to a potential US slowdown and impact on global economic power.

swarajyamag.com

Relevant topic timeline:

8/21/2023

Fitch sees ‘watered down’ judicial overhaul not having doomsday effect on economy

Despite the weakening Israeli shekel and concerns over proposed changes to the country's judicial system, Fitch Ratings believes that the modifications have been sufficiently diluted to avoid causing long-term damage to Israel's resilient economy. Fitch's decision to affirm Israel's credit rating is based on the expectation that the government will not move towards a hard-rightwing stance and that Israel will continue to attract investment and talent.

8/22/2023

S&P downgrades multiple U.S. banks citing 'tough' operating conditions

S&P Global has downgraded credit ratings and revised outlooks for multiple U.S. banks, citing funding risks and weaker profitability as factors that will test the sector's credit strength.

8/29/2023

Quiet Shifts in Corporate Debt May Explain This Year’s Big Economic Surprise

The resilience of the US economy, earnings, and markets can be attributed to changes in the structure and maturity of private sector debt, which has made them less sensitive to monetary policy and interest rate hikes.

9/7/2023

Banking industry faces 'significant downside risks': FDIC chair

The US banking industry faces significant downside risks from inflation and high interest rates, which could weaken profitability and credit quality, according to FDIC Chair Martin Gruenberg.

9/16/2023

Fitch Affirms Malta's A+ Rating But Cautions Fiscal Risks Despite Economic Growth

Fitch has affirmed Malta's A+ credit rating, citing strong economic growth and low unemployment, but expressed concerns about fiscal deficits and high inflation, stating that the country could face a downgrade if these issues worsen.

Topics

Posted 8/21/2023, 7:24:03 AM