Part 9/11:
The downgrade is less an immediate catastrophe and more a stark wake-up call. It signals that America’s fiscal policies are under increased scrutiny, and the trust that investors have long placed in US debt may be waning. This development raises fundamental questions about the US's status as a safe haven and the sustainability of its current economic path.
Looking ahead, markets will undoubtedly scrutinize yields on long-term bonds more closely, especially amidst ongoing geopolitical conflicts and global shifts in economic power. The downgrade marks a critical juncture—an alarm that fiscal policy must now take center stage.