Comments Subscribe to Personal Liberty News Feed Subscribe to Personal Liberty
 

Moody’s, Fitch Keep U.S. Rating Triple-A

WASHINGTON, Aug. 2 (UPI) — The United States’ credit rating remains top-notch but with an asterisk, two key credit rating firms said Tuesday.

While Moody’s Investor Services and Fitch Ratings both said they will keep the country’s credit rating at triple-A for now, the firms said a downgrade is still possible if the U.S. financial situation deteriorates or if promised federal spending cuts don’t materialize, the Los Angeles Times reported.

Yet to weigh in is Standard & Poor’s Financial Services, which was silent on the matter Tuesday, the Times said. The firm is considered the most likely to lower the U.S. rating.

The two credit ratings firms issued their assessments after President Barack Obama signed into law compromise legislation passed by Congress to raise the nation’s debt limit and cut its budget deficit.

A major fear as the nation had teetered toward possible default on some of its financial obligations was that it would lead rating firms to lower the credit rating, which would result in higher interest rates for some loans.

“The fundamental economic and financial underpinning of the United States’ AAA status remains strong despite the heated political debate over the role of government and how best to reduce the out-sized federal budget deficit,” Fitch said.

The firm added “despite the intensity and theater of political discourse in the United States, there is the political will and capacity to ultimately do the right thing.”

Moody’s hinted at its concerns when it said the two-step, spending-cut process approved by Congress is “untested.”

“Attempts at fiscal rules in the past have not always stood the test of time,” Moody’s said.

UPI - United Press International, Inc.

Since 1907, United Press International (UPI) has been a leading provider of critical information to media outlets, businesses, governments and researchers worldwide.

Facebook Conversations

Join the Discussion:
View Comments to “Moody’s, Fitch Keep U.S. Rating Triple-A”

Comment Policy: We encourage an open discussion with a wide range of viewpoints, even extreme ones, but we will not tolerate racism, profanity or slanderous comments toward the author(s) or comment participants. Make your case passionately, but civilly. Please don't stoop to name calling. We use filters for spam protection. If your comment does not appear, it is likely because it violates the above policy or contains links or language typical of spam. We reserve the right to remove comments at our discretion.

Is there news related to personal liberty happening in your area? Contact us at newstips@personalliberty.com

Bottom
close[X]

Sign Up For Personal Liberty Digest™!

PL Badge

Welcome to PersonalLiberty.com,
America's #1 Source for Libertarian News!

To join our group of freedom-loving individuals and to get alerts as well as late-breaking conservative news from Personal Liberty Digest™...

Privacy PolicyYou can opt out at any time. We protect your information like a mother hen. We will not sell or rent your email address to anyone for any reason.