Five States May Face Credit Downgrade Along With US

The Takeaway

It’s old news that if Congress fails to raise the debt ceiling by August 2, the government’s credit rating will sink. But here’s a lesser-known fact: the downgrade would have a trickle-down effect, resulting in five states losing their top ratings from Moody’s along with the U.S. The states are” Maryland, South Carolina, New Mexico, Tennessee and Virginia. Louise Story, finance and Wall Street reporter for our partner, The New York Times, explains why these states are at risk.

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