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S&P: US Ratings Unaffected By Fiscal Committee Impasse |
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21.11.11 23:42 |
TORONTO (Standard & Poor's) Nov. 21, 2011--Standard & Poor's Ratings Services today said that the ratings and outlook on the United States of America (AA+/Negative/A-1+) are not affected by the announcement of the Congressional Joint Select Committee on Deficit Reduction indicating that it could not agree on fiscal consolidation measures to put to a congressional vote.
The Fiscal Committee's inability to agree on fiscal measures that would stabilize U.S. government debt as a share of GDP is consistent with our Aug. 5 decision to lower our rating to 'AA+'. However, we expect the caps on discretionary spending as laid out in the Budget Control Act of 2011 to remain in force. If these limits are eased, downward pressure on the ratings could build.
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