Ep. 48 - USA Downgrade & Forward Projections
The epic rally stalled.
Many are describing the setback as an elaborate unsolvable debt spiral.
I think it’s simpler…and it all kicked off last Friday.
Let’s unpack Moody’s USA credit downgrade and make evidence-based forward projections.
On Friday, Moody’s downgraded the United States credit rating to Aa1 from Aaa, citing the one-notch downgrade…reflects the increase over more than a decade in government debt and interest payment ratios to levels that are significantly higher than similarly rated sovereigns.
This is a big deal.
A ratings slash implies that the US is a riskier debtor, and…
The skinny
The skinny isn't ready yet — notes appear once the transcript is processed.