US stocks fell further on Thursday as bond yields continued to climb following Fitch’s US credit downgrade earlier this week.
The rating agency slashed the US’s long-term credit rating from the top-tier AAA score to AA+ late Tuesday. The 10-year Treasury yield rose further above the 4% level as bond prices slumped.
But some Wall Street commentators have been puzzled over the sudden downgrade, with Larry Summers, Warren Buffett, and Jamie Dimon among those who have brushed off the move as “bizarre” and “ridiculous.”
