2023 United States debt-ceiling crisis: Difference between revisions

2023 United States debt-ceiling crisis (view source)

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 == 2011 Debt Ceiling Episode ==
+=== US Rating Downgrade ===
+=== Market Consequences ===
+* 10Y U.S. Treasury yields were already falling, from a peak of 3.73% in early February 2011 to 2.94% by July 28. They then fell by an additional 122 basis points (bps) to 1.72% by late September. 30Y U.S. Treasury yields fell by a similar amount. <ref>https://www.cmegroup.com/insights/economic-research/2023/debt-ceiling-lessons-from-the-2011-budget-debate.html</ref>
+* 2Y yields didn’t move as much, with yields falling from 0.85% in early February 2011 to a low of 15 bps by mid-September.
+* From its peak at the end of April 2011 to its low in early October 2011, the S&P 500® shed 19.4% of its value
+* Russell 2000 losed 29.6%, the S&P MidCap 400 fell 26.6% and the S&P SmallCap 600 losed 26.7%. The tech-heavy Nasdaq 100 was the outperformer, losing a relatively low 16.1% peak to trough.
+=== Differences 2011 and 2023 ===
 == References ==