Posted 11/11/2023, 12:27:00 AM
Moody's Downgrades US Credit Outlook to Negative Amid Political Gridlock and Rising Debt
- Moody's lowered US credit rating outlook from "stable" to "negative" due to political polarization in Congress and fiscal policy concerns
- Cites risk that successive governments won't reach consensus on plan to reduce debt affordability
- Moody's expects deficits to remain very large, significantly weakening debt affordability
- Move comes as another government shutdown looms with temporary spending bill expected
- While Moody's maintained AAA rating, S&P and Fitch already lowered US to AA+ in 2011 and August 2022