Bescent is downgraded Moody Delay indicator…
But then Moody’s Statement It itself states:
We don’t expect multi-year reductions in essential spending and deficit materials to occur. From the current financial proposals under consideration. Over the next decade, a larger deficit is expected as government revenues grow as qualification spending rises. Second, a sustained, large fiscal deficit will increase the government’s debt and interest burden. The US financial performance could be worse than its own past, compared to other highly rated sovereignty. [emphasis added]
Please note that Fitch reduced its rating in August 2023.
What about market metrics? This is a 5-year CD from US Treasurys (from worldgovernmentbonds.com)
To see the context, consider the details of the last six months.
Thank you, Trump!
