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Incorrect.

> Fitch Downgrade August 1 2023

> SPY around 455 fell to 433 from August 1 to August 18

> By October 27th SPY bottomed around 410 (-10%)

> From August 1 to October 23, US 10y yield went from 3.9% to 5%

Stocks went down and bond yields went up last time. The Federal Reserve raised the federal funds rate from 5-5.25% to 5.25-5.50% during the same time period.



Oh, I missed 2023. Was thinking of 2011 or whenever.


The 2011 one was reported more widely since it was the first agency to downgrade Treasuries, and in that case borrowing costs did go down.




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