Moodys downgraded US credit rating
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The debt downgrade is raising concerns that investors could reevaluate their appetite for U.S. government bonds, with the potential for rising yields.
Yields in the Treasury market are rising, threatening to make it more expensive for consumers and the U.S. to manage debt.
Moody's downgrade of the U.S. sovereign credit rating late Friday appeared to have a modest impact on corporate bond market activity on Monday, as spreads widened slightly and new bond sales started the week softer than expected.
Dalio fears the U.S. will “print money” to pay off its debts, which creates a different problem for bondholders.
Asian shares fell Monday and U.S. futures and the dollar weakened after Moody’sRatings downgraded the sovereign credit rating for the United States because of its failure to stem a rising tide of debt.