While the United States' fiscal deficit will increase this year, Fitch Ratings believes it's not a current threat to Uncle Sam's credit worthiness. Fitch has affirmed the United States' top-notch triple A rating, and issued a stable outlook on the debt, thanks in part to investor appetite for government bonds. 'The U.S. government debt is everyone else's preferred reserve asset,' explained Charles Seville, Senior Director at Fitch Ratings and head of North American Sovereign Ratings. Fitch expects a gradual rise in general government debt over the next decade, and notes the deficit will widen this fiscal year for the first time since 2009.
Get an email alert each time I write an article for Real Money. Click the "+Follow" next to my byline to this article.
Despite the president's promise of no stimulus until after Nov. 3, there are no signs yet that this is the sort of correlated selling that leads to a deep correction.
Real Money's message boards are strictly for the open exchange of investment ideas among registered users. Any discussions or subjects off that topic or that do not promote this goal will be removed at the discretion of the site's moderators. Abusive, insensitive or threatening comments will not be tolerated and will be deleted. Thank you for your cooperation.
If you have questions, please contact us here.
Email
Email sent
Thank you, your email to has been sent successfully.