Financial Times reports that "Standard & Poor’s is in the spotlight again"
The question facing the credit rating agency is whether it will downgrade the triple A credit rating of the US, or whether a tentative debt deal struck in Washington involving up to $2,400bn in deficit cuts over the next decade will avert such a move.
Given expectations that the US debt will rise by over $7 trillion over the next decade despite the debt ceiling deal, the current deal fails to solve our medium-term financial deficit concerns. To be sure, it was probably all that was politically possible and something's better than nothing, but a downgrade still would be perfectly appropriate.
