According to the recent ratings of Standard and Poor’s rating services, it has been revealed that a few of the local and state governments from the United States shall retain their AAA ratings even though the nation on the whole seems to have deteriorated a few nudges and is no longer on the number one on the ratings.

The traders as well as the analysts had predicted that the agency is going to apply something like a “sovereign ceiling” effect to the ratings and that the recent changes in the world economy would have an effect on the rankings.

There could be other negativities faced as well and tings could go even worse for the investors who disappeared from the markets last year due to speculation being made about the mass bond defaults in the market that have yet not come true.

"Pursuant to our criteria, the fiscal autonomy, political independence and generally strong credit cultures of U. S. states and local governments can support ratings above that of the U. S. sovereign", S&P said in a report released late on Monday. An official was of the view that there is going to be an examination of the federal funding cuts as well as the municipal ratings, there might be negative impact on the AAA ratings.