S&P Global Ratings confirmed on June 26 that the United States will keep its AA+ credit rating with a stable outlook. The decision reflects what S&P sees as an economy resilient enough to keep fiscal deficits from spiraling further, even if they remain uncomfortably high.
For context, AA+ is one rung below the pristine AAA rating that the US held for decades. The country lost that top-tier status from S&P back in August 2011, and it hasn’t earned it back since.
Why S&P held steady
S&P believes the US economy generates enough revenue to keep the government’s fiscal picture from deteriorating meaningfully over the next several years.
“The US economy’s resilience should support solid fiscal revenue collection, including from continued tariffs, and stabilize fiscal deficits over the next several years,” said S&P analysts led by Lisa Schineller.
