US credit ratings downgraded to A- by Dagong
US foreign currency credit ratings have been downgraded from "A" to "A-" by Dagong. That's the same rating Dagong has Brazil and Panama at.
They cited the "recurrence of the conflict" over the debt ceiling, which Dagong says "reveals the US superstructure's incapacity to solve" its national debt crisis. Dagong said that the shutdown was "an inevitable outcome of its long-term failure to pay its excessive debts".
The agency says that "a debt crisis evolves into a political crisis, which in turn exacerbates the debt crisis" and that the depreciation of the US dollar caused a loss of $628.5bn (£393bn) on foreign exchange creditors from 2008 to 2012.
Dagong was founded in 1994 by the approval of The People's Bank of China and the former State Economic and Trade Commission, holding all the qualifications for credit rating recognised by the Chinese government.
Did Dagong not get the memo? Everything's fine… for a couple of months.
— Mike van Dulken (@Accendo_Mike) October 17, 2013