https://www.fitchratings.com/research/sovereigns/fitch-downgrades-united-states-long-term-ratings-to-aa-from-aaa-outlook-stable-01-08-2023
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First things first: AA+ is still incredibly high. For the 3 major ratings organizations (Fitch, S&P, Moody’s) the ratings go from AAA all the way down to D and “unrated”.
Now with that being said, AA+ is a measure of how reliable the US govt is with debt. Fitch released a summary assessment but the short and sweet is that there are some fears about our long term debt paying ability because of civil unrest, lowest taxes in 50 years, and the debt curve turning from linear to parabolic.
This isn’t the end of the world obviously. It’s just one sign that there are financial improvements we can make (my personal opinion is that we need to reteach people that taxes aren’t bad but that’s another discussion)
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