S&P Keeps U.S. Debt Rating at Highest Level

By Pan Pylas

LONDON -- Credit ratings agency Standard & Poor's said Thursday it is unlikely to lower its rating on the U.S. government in the near-term despite noting a "significant" weakening in public finances.

S&P said in a report it will retain its top triple-A rating for the U.S.'s long term debt and added that the outlook is stable. Last month, rival credit ratings agency Moody's Investors Service said the U.S. government's "Aaa" rating is stable despite the country's swelling debt.

"Despite significant weakening in the near-term economic outlook, projected fiscal deficits, and the high fiscal costs of government support of the U.S. financial sector, we still believe that the U.S. government's credit strengths continue to outweigh its weaknesses," said Nikola Swann, a credit analyst at S&P. ...