Moody's downgrades U.S. sovereign rating Analysts: U.S. fiscal path "unsustainable"

Credit rating agency Moody's downgraded the US sovereign credit rating by one notch on Friday, citing concerns over the growing $36 trillion debt of the United States. Morgan Stanley strategist Michael Zezas pointed out that in the short term, politically feasible fiscal plans may lead to a widening deficit without providing meaningful fiscal stimulus to the economy. Anne Walsh, Chief Investment Officer at Guggenheim Partners Investment Management, stated that without a substantial program aimed at significantly resetting expenditure levels, the US fiscal path is unlikely to improve significantly and said, "We are walking on an unsustainable path."