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US Credit Rating Could Take A Hit

Credit rating agency Moody’s says they’re set to cut America’s triple-A debt rating. While they say that the risk of the US defaulting on their debt payments is low, it certainly isn’t an insignificant risk. This comes as cross-party talks aimed at raising their debt ceiling continue to be deadlocked.

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Obama Urges Government Borrowing Extension

During a rare hour-long news conference on Wednesday, President Obama warned that the US economy could face significant consequences if Congress fails to permit more government borrowing. Obama stressed the importance of extending borrowing beyond the current 14.3 trillion limit by August 2nd. Otherwise, defaulting on international loans could shake confidence in the US economy and downgrade the country’s credit rating making borrowing more expensive in the future.

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