Moody's May Downgrade U.S. Debt

In August 2011, S&P downgraded U.S. Treasury debt from its vaunted AAA credit rating. Over a year later, Moody's announced that it may also downgrade U.S. Treasury debt from its current Aaa rating. Moody's blamed the the possible downgrade on the "fiscal cliff". In January 2013, government spending cuts and tax increases are set to take place, which analysts believe may lead to another recession.