United States Credit Rating Downgraded

US Capitol

Washington D.C. – After releasing a report on July 14th outlining why the U.S. was on CreditWatch Negative, it went on to state several factors in determining if to downgrade the creditworthiness of the United States.

In this release, the S&P outlined that lawmakers needed to “agree on a plan to deal with the federal deficit and develop a credible solution to the country’s debt burden”.

The move today signifies that S&P believes that the new law that was recently passed did little to help strengthen the creditworthiness of the U.S. by not being serious with debt reduction.

With the reduction in the credit rating also came a warning that the U.S. could see further reductions in its credit rating if the President and Congress don’t work together to bring real reform in spending habits.