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Moody's Downgrades US Credit Rating for First Time Since 1919

5/22/2025

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Summary

Story summary

Moody's downgraded the US credit rating from "Aaa" to "Aa1" on May 16, 2023, citing rising debt and fiscal concerns.
This is the first downgrade of the US's top credit rating since 1919, following similar actions by S&P and Fitch.
Major banks like JPMorgan and Bank of America also experienced rating downgrades.
The downgrade could increase borrowing costs and affect lending rates amid political negotiations on fiscal policies.

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Story summary

Moody's downgraded the US credit rating from "Aaa" to "Aa1" on May 16, 2023, citing rising debt and fiscal concerns.
This is the first downgrade of the US's top credit rating since 1919, following similar actions by S&P and Fitch.
Major banks like JPMorgan and Bank of America also experienced rating downgrades.
The downgrade could increase borrowing costs and affect lending rates amid political negotiations on fiscal policies.