Moody’s: Congress Must Make Deal To Avoid Downgrade

Moody’s Investors Service is warning that unless Congress can avoid a “fiscal cliff” there could be a second credit rating downgrade.

The rating agency said that budget negotiations in 2013 will likely determine the fate of the nation’s credit rating, adding that an inability to strike a deal with “specific policies” to change the nation’s debt trajectory would likely mean a downgrade…

The good news for lawmakers is that if they can somehow strike a broad fiscal deal in the next 12 months, it will likely mean the nation can protect its AAA rating from Moody’s, and the agency would revoke its negative outlook in favor of a stable one.

By: Alan

Alan Colmes is the publisher of Liberaland.