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Moody’s cuts U.S. outlook to negative, citing deficits and political polarization

Moody's Investors Service has lowered its ratings outlook on the United States government from stable to negative, citing rising risks to the nation's fiscal strength and Political Polarization. The ratings agency affirmed the US's long-term issuer and senior unsecured ratings at Aaa, but expressed concern over the large fiscal deficits and the inability of successive governments to reach consensus on a fiscal plan. Moody's expects the US to retain its exceptional economic strength, but warns that without effective fiscal policy measures, debt affordability will weaken. This comes as Congress faces the threat of a government shutdown.

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Moody’s cuts U.S. outlook to negative, citing deficits and political polarization

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