Usa, debt ceiling and default risk: Fitch puts ratings under observation

Fitch Ratings confirmed its US debt rating at triple AAA, however putting the rating under review with negative implications.

The agency justified the decision with the risk of a failed agreement between the Biden administration and the Republicans to raise or suspend the debt ceiling.

The United States risk defaulting on their debt on June 1, on the so-called date X, in the absence of an agreement between the counterparties.

However, Fitch specified that he still believes that the US will reach an agreement to raise the debt threshold by date X.