After the market close on Friday, credit rating agency Standard & Poor's made good on its threat to downgrade US debt. In lowering the long-term sovereign rating from AAA to AA+, S&P cited their view that "the effectiveness, stability, and predictability of American policymaking and political institutions have weakened at a time of ongoing fiscal and economic challenges . . .". Adding insult to injury, they left the rating outlook as negative, warning that they could lower it to AA within the next two years if they see fewer reductions in spending, higher interest rates or new fiscal pressures that result in higher than anticipated government debt levels.

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