Chinese ratings agency downgrades U.S.

China's Dagong Global Credit Rating cut its credit rating for United States debt by one notch to A-minus from A on Thursday, saying a deal struck by Congress to raise the government's borrowing ceiling failed to solve the cause of its debt problem.

The downgrade put the United States several notches below Dagong's top rating and on par with Brazil, Israel and Panama, among others.

Dagong said that the temporary fix of the debt issue would not defuse the fundamental conundrum of the U.S. fiscal deficit or improve repayment ability in the long-term, but could trigger defaults at any time in the future.

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