S&P affirms US AA+ rating with stable outlook despite high deficits

Forex Short News
  • S&P affirmed the US sovereign rating at AA+/A-1+ with a stable outlook, noting steady but high deficits.

  • It expects US net general government debt to approach 100% of GDP due to rising nondiscretionary interest and aging-related spending.

  • S&P projects US economic growth around 2% following a slowdown in 2025 and 2026.

  • It said fiscal deficit outcomes won’t meaningfully improve, but no persistent deterioration is projected over the next several years.

  • Average annual real GDP growth is expected to decelerate to 1.7% in 2025 and 1.6% in 2026.

This article was written by Arno V Venter at investinglive.com.