Kevin Hassett Disputes Moody’s Downgrade of US Debt

Economist Kevin Hassett challenges Moody’s downgrade of US debt, arguing that it fails to reflect the safety and appeal of U.S. Treasury bonds. His stance comes as Moody’s lowered the rating from AAA to AA1, citing high national debt and interest payment ratios. This change reflects growing concerns about US fiscal policies. Hassett emphasizes the long-term stability of US debt while maintaining skepticism toward Moody’s assessment. The downgrade is expected to impact global financial dynamics, particularly market perception of credit risk. Despite the potential market volatility, Hassett argues that US debt remains a safe and desirable investment.