Moody’s ratings agency downgraded its previously top-notch rating of the U.S. government’s creditworthiness on Friday, citing “persistent, large fiscal deficits” that show no signs of slowing. The downgrade,

Moody's lowered its rating on U.S. debt from Aaa to Aa1, pointing to sustained increase in federal debt and interest payments.

The downgrade follows a change in the outlook on the sovereign in 2023 due to wider fiscal deficit and higher interest payments, and comes as Congress debates tax and spending plans that could deepen the fiscal hole.