Political Turmoil Threatens America's AAA Credit Rating

Wall Street worries U.S. could lose last AAA credit rating due to political chaos and government shutdown fears.

Moody's is the only major firm still giving U.S. top AAA rating, but warned shutdowns are "credit negative."

Past shutdowns and Congressional dysfunction prompted S&P and Fitch to cut U.S. to AA+ in 2011 and 2021.

Another shutdown could further rattle the $25 trillion Treasury market where yields recently surged.

Even without downgrade, rising Treasury yields make it more expensive for U.S. to borrow as Fed tightens policy.