Is the United States in the same condition as UK? Will it lose AAA rating?

The United States are facing the risk of losing their top AAA credit rating with the US dollar, stocks and bonds likely to undergo heavy selling pressure, said Bill Gross, the co-chief investment officer of Pacific Investment Management Co and manager of the Pimco Total Return Fund. He said that the USA may be downgraded in "at least three to four years, if that, but the market will recognize the problems before the rating services - just like it did today.”

Gross also noted that market declines on Thursday were due to investor fears that the United States is "going the way of the UK - losing AAA rating which affects all financial assets and the dollar."

On Thursday Standard & Poor's downgraded Britain to "negative" from "stable," threatening the nation's top AAA rating. It is a one in three probability that Britain will have its ratings cut as its national debt is accumulating to reach 100% of the GDP soon.

Earlier this week the news that Federal Reserve cut its US growth forecasts over the next three years greatly impacted the markets which were frightened even more when S&P reported about the possible UK credit cut. As a result pan-European FTSEurofirst 300 index of top shares fell 2.1 per cent to 857.52 points.

In addition US equities also dropped with Treasuries and the US dollar - which typically rise on a bid for assets perceived as lower risk when stocks fall - also declined as investors were concerned about swelling US deficits. The Dow Jones industrial average closed down 129.91 points, or 1.5 percent, at 8292.13, while the Standard & Poor's 500 Index was down 15.14 points, or 1.7 percent, at 888.33.

Meantime, Moody's Investors Service, a US credit rating agency, said on Thursday that it is comfortable with the AAA rating on the United States, but it is not guaranteed forever.

"There are longer-term pressures on the rating, that's very clear," said Steven Hess, lead analyst for Moody's.

Standard & Poor's also cited their January affirmation of the AAA rating. S&P analysts Nikola Swann and John Chambers wrote at that time that their affirmation came "despite our judgment that fiscal risk has noticeably increased," but saw that deterioration as temporary.