Don’t Blame The Messenger: Fitch Tell It Like It Is

So it’s come to this. Last week Fitch Ratings followed the 2011 lead of S&P Global and downgraded its U.S. debt rating from AAA to AA+.” Goodbye “outstanding”, hello mere “excellent”. The rating agency cites expected fiscal deterioration in the U.S. over the next three years, a high and growing general debt burden and “a steady deterioration in the standards of governance over the last 20 years … [which has] eroded confidence in fiscal management…. In addition, the government lacks a medium-term fiscal framework…”.