BREAKING: The U.S. has officially lost its last AAA credit rating. Moody’s just downgraded U.S. debt, citing ballooning deficits and unsustainable interest costs.
Fiscal deficit: $1.05 trillion YTD 10-year yield: 4.48% Interest burden: “Significantly higher than peer nations”
This follows downgrades by Fitch (2023) and S&P (2011).
America now shares a credit rating with Austria and Finland.
....the credit downgrade was announced after Friday's market close. So strap up it could be a rocky ride next week.
The last U.S. credit downgrade was in Aug 2011, S&P downgraded the U.S. long-term credit rating from AAA to AA+
The S&P 500 fell 6.6% The Dow Jones 5.5% NASDAQ fell 6.9% The next trading day.
