US equities and Bitcoin experienced fluctuations as concerns over US debt intensified, alongside progress on a new budget. After a rough start, the S&P 500 was nearly flat, recovering from an initial 1% drop, while the Nasdaq Composite similarly rebounded to Friday's close. Bitcoin dipped early but regained some losses, trading above $105,000. The market response followed Moody's downgrade of the US government's credit rating from AAA to Aa1, attributed to the growing fiscal deficit. This downgrade has historically led to temporary market volatility without signaling long-term declines. In addition, a significant tax bill that is expected to increase the deficit advanced in Congress. The trade war continues to loom, with lower European growth forecasts attributed to US tariffs. Investors are advised to stay informed as legislation, including the stablecoin-focused GENIUS Act, is poised for a vote.

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