U.S. Treasury Chief Dismisses Moody’s Downgrade, Says Tax Cuts Will Spur Growth

Treasury Secretary Scott Bessent has downplayed Moody’s downgrade of the U.S. sovereign credit rating, as the Republican-led Congress advanced President Donald Trump’s sweeping tax-cut bill, Susan Heavey and Katharine Jackson reported for Reuters.

A handful of Republican hardliners voiced concern over insufficient spending cuts.

Bessent told CNN’s State of the Union that extending the 2017 Trump-era tax cuts would fuel economic growth strong enough to outpace debt increases—even as nonpartisan analysts warn the plan could add trillions to the $36.2 trillion national debt.

“I don’t put much credence in the Moody’s downgrade,” Bessent said.

The House Budget Committee rejected the bill, with a handful of Republican hardliners voicing concern over insufficient spending cuts. However, House Speaker Mike Johnson said Sunday the bill remains “on track” for passage.

The committee planned to reconvene in a rare Sunday night hearing at 10 p.m. ET. “We’ve had lots of conversations. We’ll have more today,” Johnson told Fox News Sunday when asked about objections from GOP members Chip Roy and Ralph Norman.