Fitch's Credit Downgrade Sends Wake-Up Call to US Government

Fitch, one of the major credit rating agencies, has downgraded the US government's credit rating from AAA to AA+ due to concerns over the country's finances and debt burden. The agency cited a "steady deterioration" in governance over the past 20 years. US Treasury Secretary Janet Yellen called the downgrade "arbitrary" and based on outdated data. While the timing and rationale behind the downgrade have surprised many economists, it is not expected to have a significant impact on financial markets. Fitch also predicts a mild recession for the US later this year.