Fitch: Potential US shutdown won't hurt credit rating, which already factors governance issues

Fitch says a US government shutdown this year would not hurt the country's credit rating, which already factors in governance issues.

Fitch downgraded the US credit rating in August due to concerns over governance, interest rates, and fiscal trajectory.

House Speaker Kevin McCarthy was recently ousted by fellow Republicans, raising worries about US political brinkmanship.

Fitch expects the US budget deficit to rise to over 6% of GDP this year from 3.7% in 2022.

S&P and Moody's have also warned about the credit implications of a potential shutdown.