When was us downgraded announced

The agency also said it is "ready to provide expertise and resources" to resolve issues raised in the safety assessment process. Mexico's government said on Tuesday it is determined to recover a Category 1 air safety rating quickly.

The Category 2 rating, according to the FAA, means Mexico lacks "necessary requirements to oversee the country's air carriers in accordance with minimum international safety standards, or the civil aviation authority is lacking in one or more areas such as technical expertise, trained personnel, record keeping, inspection procedures or resolution of safety concerns.

MX also declined. Mexico's air transportation industry group Canaero said the downgrade will "severely affect" the sector's recovery from the effects of the COVID pandemic and trade with the United States but it does not expect the action to impact existing operations of Mexican airlines.

Treasuries are often used as collateral for short-term lending among banks and other financial institutions. Consumers and investors could feel the impact of a downgrade.

Interest rates on bonds could rise, and rates on mortgages and other types of loans along with them. Your stocks, your cash: Will you feel the downgrade? Government-backed agencies like Fannie Mae and Freddie Mac may also be downgraded. It's also possible that some state and local governments could also face a downgrade. And investment decisions would become complicated for large institutional investors that are required to hold highly-rated securities.

Health and social security costs are still set to rise over the medium-term while federal revenue in FY19 was close to its long-term average as a share of GDP. Spending rose by USD1. In the three months since this CBO estimate was published, Congress has made no major addition to the support packages.

Amid a borrowing surge, borrowing costs have fallen, with the year treasury bond yielding 0. The effective interest rate on the federal government debt stock fell by 0. In line with our assumption that the Federal Reserve will hold its policy rate at 0. But it is uncertain whether very low market rates will persist once growth and inflation pick up.

The future direction of fiscal policy depends partly on November's presidential and congressional elections. The odds of Democrats overturning the Republican majority in the Senate have shifted in their favor over the past quarter, but it is unlikely that either party will achieve a seat majority.

A continuation of policy gridlock is a risk. Political polarization may weaken institutions and reduces the scope for bipartisan cooperation, hindering attempts to address structural issues including some highlighted by the pandemic and protests but also longer-term fiscal challenges.

The economic crisis has likely brought forward the point at which social security and healthcare trust funds are exhausted, demanding bipartisan legislative action to sustainably fund or reform these programs. Fitch expects the economy to contract by 5.

That would mean less revenue. And it likely will mean higher government interest costs, which would mean more expenditures. Both would seem to make a further downgrade more likely. The downgrade puts heat not only on the government. The uncertainty surrounding the U. Mitt Romney called the downgrade "a deeply troubling indicator of our country's decline under President Obama.

Former Obama ambassador to China Jon Huntsman ripped his former boss for "presiding over the first downgrade of the United States credit rating in our history.