Global markets, U.S. futures and the dollar all retreated early Monday after Moody’s Ratings downgraded the sovereign credit rating for the United States because of its failure to stem a rising tide of debt.

Strategists warned the move, announced after the market close on Friday, could spark some near-term selling in stocks and Treasurys.

SINGAPORE] Moody’s downgrade of the US’ credit rating by a notch (Aaa to Aa1) shouldn’t have come as a big surprise. Earlier downgrades by S&P in 2011 and Fitch in 2023 have raised expectations that Moody’s would be next;