Fitch: US Vulnerable To Interest Rate Shocks, UK In Desperate Need Of Spending Cuts

london UK

It feels as though the world has taken a breather from its sovereign debt hyperventilation, but Fitch is here to remind us that the story isn’t over yet.

The credit ratings agency is out with some fresh comments, according to ForexLive, warning to the biggies — the US and the UK — that they’re not out of the woods.

The US remains vulnerable to interest rate shocks (in other words, freak the hell out if we have to roll over our debt at much higher prices) and the UK needs to cut costs aggressively, and bring debt-to-gdp to around 3%, something that may be impossible if the UK election ends in a hung parliament.

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