Moody’s US downgrade weighs on Republican push for ‘big, beautiful bill’

Moody’s became the latest major credit rating agency to downgrade the US, citing ballooning government debt that could grow further if Republicans pass a package to extend President Donald Trump’s tax cuts.

The White House sought to downplay Moody’s assessment, with Treasury Secretary Scott Bessent on Sunday describing the rating as a “lagging indicator” of the country’s economic health.

The GOP’s proposed budget package — which could add trillions to the federal deficit, according to estimates — suffered a blow Friday as party hardliners stopped the so-called “big, beautiful bill” from moving forward, arguing it would add too much to the debt.

Another push to advance the package was expected later on Sunday.