The smaller ratings agency, DBRS, is considering downgrading the AAA-rating of the US.
• Action reflects the growing risk of a selective default by the federal government on its debt securities
• If the debt ceiling is not raised or eliminated by October 17, it is unclear how the Treasury would operate
• While a low probability, missing payments on selected government securities cannot be ruled out the longer it takes for an agreement to be reached on the debt ceiling, the greater the risk of…