Biden's bureaucrats strongly protest the U.S. downgrade by Fitch.

Fitch Ratings indicated in their report that over the past 20 years, the level of governance in the United States has gradually declined, and the recurring debt ceiling standoffs have eroded confidence in the government's effective financial management.

Fitch's decision to downgrade the United States' rating mirrors a similar move by its competitor Standard & Poor's in 2011, where similar debt ceiling struggles had negatively impacted the United States' ability to repay debts on time.

Officials from the Biden administration protested Fitch Ratings' decision to downgrade, claiming flaws in the agency's rating methodology and overlooking the resilience of the U.S. economy. Treasury Secretary Janet Yellen strongly opposed Fitch's downgrade, emphasizing that it ignored the resilience of the U.S. economy, noting that the unemployment rate is nearing historical lows, inflation rates have significantly decreased since last summer, and a report last week showed that the U.S. economy is in a phase of continuous growth.

Biden administration officials suggested Fitch's decision to downgrade the U.S. rating was bizarre and unfounded, indicating that the governance issues Fitch mentioned occurred during former President Donald Trump's administration and, by Fitch's standards, governance under President Biden's tenure should have improved.

The official also stated that based on market reactions so far and the situation of falling interest rates after the 2011 downgrade, it is expected that the federal borrowing costs will not see a significant increase. However, economists and analysts express skepticism about this, believing the impact of Fitch's downgrade on financial markets, especially the government bond market, may not be immediately evident.