The plan would be positive on the US sovereign rating - but according to the rating agency the chances of its realization are "extremely low"
President Barack Obama's plan to reduce the US deficit would be positive for the US sovereign rating but the chances of its adequate implementation are "extremely low", said Moody's Investor Service today.
Furthermore, the rating agency warned in a report, deficit reduction is made more difficult by the threat of a slowdown in economic growth. Moody's expects US GDP growth to remain well below potential for at least all of 2012.
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