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S&P to the US: Your credit is no good [White House was prepared for, and expecting, a downgrade] [
Salon ^ | Friday, Aug 5, 2011 21:45 ET | By Andrew Leonard

Posted on 08/05/2011 7:38:21 PM PDT by fight_truth_decay

Why the Tea Party-friendly Republicans of the U.S. House own this epic humiliation

On Friday night, after a swirl of rumors and conflicting news reports that will be grist for the Washington pundit mill for years to come, Standards & Poor downgraded the credit rating of the United States.

(Excerpt) Read more at salon.com ...


TOPICS: Business/Economy; Extended News; Government; News/Current Events
KEYWORDS: bipartisan; ceiling; creditrating; debt; default; downgrade; sandp; sp; teaparty
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A "scared" lib said to me---we were told it wouldnt happen if we supported Obama on this..the market was a shock then this [sucked in again].. When will they learn?
1 posted on 08/05/2011 7:38:26 PM PDT by fight_truth_decay
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To: fight_truth_decay

lol!

arab spring caused our economic problems.


2 posted on 08/05/2011 7:39:32 PM PDT by ken21 (ruling class dem + rino progressives -- destroying america for 150 years.)
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To: fight_truth_decay
Yeah, but just think of how many points the Dow would have dropped and much further our credit rating would have dropped if we wouldn't have done this and passed Cut,Cap and Balance instead /sarc
3 posted on 08/05/2011 7:40:43 PM PDT by normy (Don't take it personally, just take it seriously.)
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To: ken21
I'd like to think that explains him going Greyhound......

I can wish

4 posted on 08/05/2011 7:41:27 PM PDT by blackdog (The mystery of government is not how Washington works but how to make it stop)
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To: fight_truth_decay
It's also worth noting that two of the other big three rating agencies did not downgrade the U.S.'s credit rating...YET!
5 posted on 08/05/2011 7:42:34 PM PDT by Bushbacker1 (I miss President Bush greatly! Palin in 2012! 2012 - The End Of An Error! (Oathkeeper))
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To: normy

S&P is a private company. Their office in Italy was just raided by the police. They can’t afford to PO the administration who can call in the IRS, SEC, FBI, etc. They had to downgrade to protect their reputation,but the downgrade is most of all because the of the size of the debt and it’s growth rate.


6 posted on 08/05/2011 7:44:10 PM PDT by Oldexpat
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To: fight_truth_decay

Obama has fundamentally transformed our economy as he warned
he would do.

Let your elected officials know exactly how you feel about their job ratings, loud and clear.

CUT, CAP AND BALANCE THE DAMN BUDGET.

FAST TRACK THE BALANCED BUDGET AMENDMENT NOW!!!

Reverse ObamaCare, NOW!


7 posted on 08/05/2011 7:46:55 PM PDT by Enough is ENOUGH (Fabian Globalism: Environmentalism halts production, forces population into dense controllable areas)
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To: ken21

And George Bush caused Arab Spring. So we are back to square one. George Bush ate my homework.


8 posted on 08/05/2011 7:47:20 PM PDT by chuckee
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To: fight_truth_decay

Hey Bonehead, Tea Party tried to tell you and you just wouldn’t listen.


9 posted on 08/05/2011 7:48:21 PM PDT by Logical me
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To: fight_truth_decay
Foolish article, foolish comments. The author, and the first half-dozen commenters, buy the story that Obama was prepared to actually make a meaningful "grand bargain" and that the GOP scotched it.

What a bunch of horsehockey. Obama had two goals--borrowing authority large enough to get him through the campaign, and no meaningful cuts in the size of government. He got those.

Yes, he would have liked bigger and more obvious tax raises to build the platform for deficit spending at an even higher level, but that was a secondary consideration. There was no intention of a "grand bargain."

10 posted on 08/05/2011 7:51:07 PM PDT by Pearls Before Swine
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To: Oldexpat
S&P is peanuts compared to the size of the US government. They'are nothing but a magazine publisher that's over-extended into specialty titles and heavy mailings.

They are cross-subsidized by the other classes of mail. Charged full rates S&P would be out of business tomorrow.

The market for US Securities is very sophisticated. They buy our stuff for several reasons ~

(1) There's nowhere else to park their money due to a continuing and worsening Great Obama Recession.

(2) We pay off. That's because we have this incredibly large military force so we are in no real danger of being overrun by the screaming hordes of Luxemburg.

(3) All the other government paper on the market can't say that no matter what their bond rating services say.

11 posted on 08/05/2011 7:52:35 PM PDT by muawiyah
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To: fight_truth_decay

CNN is trying to convince everyone that:

1) It’s not that bad
2) It’s the republicans’ fault
3) S&P doesn’t know what they’re talking about

They say S&P rated companies AAA that went under the next day. Yet they want to condemn S&P for cutting the U.S. rating.


12 posted on 08/05/2011 7:52:56 PM PDT by Terry Mross (I'll only vote for a SECOND party.)
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To: fight_truth_decay
"Democrats have only been able to agree to relatively modest savings on discretionary spending while delegating
to the Select Committee decisions on more comprehensive measures."

Standard & Poor's

13 posted on 08/05/2011 7:53:28 PM PDT by NoLibZone (Life as Nancy Pelosi knows & wants it, must end, Life As Nancy Knows it is to raise Debt 10% annualy)
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To: fight_truth_decay
We also believe that the fiscal consolidation plan that Congress and the Administration agreed to this week falls short of the amount that we believe
is necessary to stabilize the general government debt burden by the middle of the decade.

Standard & Poor's

14 posted on 08/05/2011 7:53:53 PM PDT by NoLibZone (Life as Nancy Pelosi knows & wants it, must end, Life As Nancy Knows it is to raise Debt 10% annualy)
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To: fight_truth_decay

The libs are now trying to blame the Tea Party for something Obama signed.


15 posted on 08/05/2011 7:54:01 PM PDT by matt04
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To: fight_truth_decay
"..., as we see it, the resulting agreement fell well short of the comprehensive fiscal consolidation program that some proponents had envisaged until quite recently."

Standard & Poor's

16 posted on 08/05/2011 7:54:12 PM PDT by NoLibZone (Life as Nancy Pelosi knows & wants it, must end, Life As Nancy Knows it is to raise Debt 10% annualy)
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To: All

One woman said it’s okay for S&P to tell us to raise revenue. Did S&P even say that?


17 posted on 08/05/2011 7:55:50 PM PDT by Terry Mross (I'll only vote for a SECOND party.)
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To: fight_truth_decay

Read the S&P report and you think it was written by a Tea Party member. That’s why the the establishment hates us. They know we know we right (pun intended).


18 posted on 08/05/2011 7:56:20 PM PDT by BMWR1200C
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To: fight_truth_decay
"Our lowering of the rating was prompted by our view on the rising public debt burden and our perception of greater policymaking uncertainty,..."

Standard & Poor's

19 posted on 08/05/2011 7:56:46 PM PDT by NoLibZone (Life as Nancy Pelosi knows & wants it, must end, Life As Nancy Knows it is to raise Debt 10% annualy)
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To: Bushbacker1
"The regulatory agencies responded saying there would be no change for risk-based capital purposes for financial institutions."

Bank Failure #63: Bank of Whitman, Colfax, Washington
Bank Failure #62: Illinois ,,,, and the sixth in Illinois...this year...

http://www.calculatedriskblog.com/

Earlier: Misc: S&P Plans U.S. Downgrade, makes math error, ECB to Buy Italian Bonds

A few stories ...

20 posted on 08/05/2011 7:57:34 PM PDT by fight_truth_decay
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To: matt04
The libs are now trying to blame the Tea Party for something Obama signed.

Nothing unexpected about that. Libs are always wrong-targeting. It's what you do when your head is filled to overflowing with lies and utopian fantasies.

21 posted on 08/05/2011 7:58:38 PM PDT by Windflier (To anger a conservative, tell him a lie. To anger a liberal, tell him the truth.)
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To: fight_truth_decay
"Why the Tea Party-friendly Republicans of the U.S. House own this epic humiliation...."

HUH?

WTF?

Let me see if I can wrap my arms around this Orwellian, Moonbat, Newspeak: The T-Party Republicans were the one who fought for bigger cuts and the Neo-Commie Dear Leader and his sycophant members of the Party of Surrender and Defeat (Demo-Rats) in the Politburo (Congress)--aided and abetted by the biased, corrupt, State-Run Media, of which Salon is at the top of the list when it comes to "Rags" and "Bird Cage Liners,"--in fighting and preventing this, yet the T-Party Republicans "OWN IT?"

Look to this trope being all over tomorrow and it will be the "Talking Points" being repeated by all of the Leftist Media and guess what, somehow it will "Stick" and the majority WILL blame the Republicans.

Beam me up Scotty!!!

22 posted on 08/05/2011 7:59:24 PM PDT by Conservative Vermont Vet (l)
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To: fight_truth_decay
President Cloward-Piven promised he'd overwhelm the system.

Mission accomplished!

23 posted on 08/05/2011 8:01:58 PM PDT by E. Pluribus Unum (Palin is coming, and the Tea Party is coming with her.)
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To: Terry Mross
This isn't to criticize S&P, but they are pretty small potatoes compared to the US debt.

They also have entirely too many foreigners on their staff and in management ~

I think they can be safely ignored by everybody.

24 posted on 08/05/2011 8:02:07 PM PDT by muawiyah
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To: Enough is ENOUGH
Obama needs to resign NOW.
25 posted on 08/05/2011 8:02:51 PM PDT by BMC1 (OBAMA IS A THUG RUNNING A GANGSTER GOVERNMENT)
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To: fight_truth_decay
Let your elected officials know exactly how you feel about their job performance, loud and clear.
26 posted on 08/05/2011 8:03:27 PM PDT by Enough is ENOUGH (Fabian Globalism: Environmentalism halts production, forces population into dense controllable areas)
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To: muawiyah

Czars must go and Congress needs to get their butts back to WA and start cutting.


27 posted on 08/05/2011 8:04:44 PM PDT by BMC1 (OBAMA IS A THUG RUNNING A GANGSTER GOVERNMENT)
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To: Conservative Vermont Vet
somehow it will "Stick" and the majority WILL blame the Republicans.

There's an easy way to fight this spin.

Point out that OBAMA signed the bill into law. IT'S OBAMA'S BILL!

28 posted on 08/05/2011 8:04:44 PM PDT by Flycatcher (God speaks to us, through the supernal lightness of birds, in a special type of poetry.)
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To: Oldexpat

S&P is a private company. Their office in Italy was just raided by the police.


Why did they raid their office?


29 posted on 08/05/2011 8:05:41 PM PDT by unkus (Silence Is Consent)
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To: muawiyah

yeah, pretty small potatoes ok, the S&P only the the top 500 employers in the world - but, who’s to say eh?


30 posted on 08/05/2011 8:07:27 PM PDT by WorkerbeeCitizen (I STAND WITH ISRAEL!)
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To: fight_truth_decay
We need to remember that S&P was one of the players behind the Mortage meltdown and has never accepted responcibilty for their role in over rating mortgage-backed securities.


31 posted on 08/05/2011 8:08:39 PM PDT by darkwing104 (Lets get dangerous)
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To: E. Pluribus Unum

President Cloward-Piven promised he’d overhelm the system.
Mission accompished!

Indeed it is all part of the liberal Democrat plan.
Destroy so they can rebuild.


32 posted on 08/05/2011 8:10:05 PM PDT by mojo114 (Pray for our military)
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To: Enough is ENOUGH
Obama has fundamentally transformed our economy as he warned he would do.

Let your elected officials know exactly how you feel about their job ratings, loud and clear.

CUT, CAP AND BALANCE THE DAMN BUDGET.

FAST TRACK THE BALANCED BUDGET AMENDMENT NOW!!!

Reverse ObamaCare, NOW!

--------------------------

Spot on Enough is ENOUGH.

I AGREE WITH THAT

We've been hearing since December 2010 that Obama is going to focus like a laser on the jobs problem. So far... zip.

12-03-2009 - Obama puts renewed focus on job creation
01-27-2010 - Obama's State of the Union address: 'Jobs must be our No. 1 focus'
09-06-2010 - Obama touts new jobs program at Labor Day speech in Milwaukee
01-21-2011 - Obama presses for an economy in 'overdrive'
01-31-2011 - Obama develops 'Startup America' program
08-05-2011 - Obama says 'singular focus' is boosting job creation

Yes sir, the change the people wanted is here and it's getting worse. And he says, we are not done yet!

Obama-Ps_44
Zer0 is beyond toast in 2012.

Let's put the 2011 federal budget into perspective: 

National debt.... $ 14.20 trillion
Federal budget... $  3.82 trillion
US income........ $  2.17 trillion
New debt......... $  1.65 trillion
Recent budget cut $  0.04 trillion (about 1% of the budget)

Hmmmmmmm!

33 posted on 08/05/2011 8:10:29 PM PDT by BobP (The piss-stream media - Never to be watched again in my house)
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To: fight_truth_decay

Now I understand why thet were spinning this as a Tea Party victory. They knew this was coming and planned to blame the TP.


34 posted on 08/05/2011 8:10:44 PM PDT by riri
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To: Pearls Before Swine

Initially, Obama wanted a clean debt ceiling hike. He excoriated the House budget and Medicare reform. There can be no grand bargain without entitlement reform. The Dems are not prepared to do that. They are using the reform of the entitlement programs as part of their scare tactics for 2012. The Dems want to continue to spend even if it means raising taxes and decimating defense. They know that the welfare state is collapsing.


35 posted on 08/05/2011 8:11:05 PM PDT by kabar
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To: fight_truth_decay
Well, Palin? Well Trump? Start leading (a sound bite or interview isn't leading) or evermore shut up.

36 posted on 08/05/2011 8:13:51 PM PDT by I see my hands (Keep your sunny side up!)
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To: fight_truth_decay

OBAMA IS FUNAMENTALLY DESTROYING AMERICA

37 posted on 08/05/2011 8:14:50 PM PDT by Jeff Head (Liberty is not free. Never has been, never will be. (www.dragonsfuryseries.com))
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To: Terry Mross

Its reported in the article from the washington post.


38 posted on 08/05/2011 8:16:04 PM PDT by linn37
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To: Windflier

I wish this was a reason for Impeachment.


39 posted on 08/05/2011 8:16:33 PM PDT by AGreatPer
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To: Conservative Vermont Vet

I think the reason the media is so screwed up (blaming the people who wanted a realistic cut) is that they are in shock over the downgrade. The local liberal newsradio could only repeat it over and over and you could tell the announcers have utterly no clue that we are beyond broke.


40 posted on 08/05/2011 8:17:36 PM PDT by palmer (Cooperating with Obama = helping him extend the depression and implement socialism.)
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To: BMC1
I can hear Bill Clinton's voice in my head:

"Ha ha ha..."[e-mails pouring in] "Hillary...our country needs us I, mean you--oh boy, new interns to interview...they will be too young to remember, oh boy..!"

41 posted on 08/05/2011 8:20:40 PM PDT by fight_truth_decay
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To: WorkerbeeCitizen
What?

They publish magazines ~ they are actually called McGraw-Hill.

42 posted on 08/05/2011 8:28:11 PM PDT by muawiyah
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To: fight_truth_decay
Heh heh heh.

Tell him the race card is overdrawn!

Cheers!

43 posted on 08/05/2011 8:28:29 PM PDT by grey_whiskers (The opinions are solely those of the author and are subject to change without notice.)
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To: chuckee

Unfortunately, the vast majority of morons in this country REALLLLLY believe W caused this fiasco. I KID YOU NOT...I finished talking to a well educated friend who kept accusing W of the heartaches this country is NOW facing! AND she ain’t the only one I have come across blaming the republicans. The mediaWHORES have done their EVIL best to blame W and the republicans and UNFORTUNATELY it is working. The pubs are so damn stupid it’s beyond belief now. They better get their asses in gear fast and start pinning this disaster on the CHILD KING and his cronies. Can you say scape goat?! It’s already starting....the rats are winning the blame game while the RNC, pubs along with boner are all hiding under their beds!


44 posted on 08/05/2011 8:37:09 PM PDT by RoseofTexas
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To: fight_truth_decay
Charlie Sheen is the problem.

Winning!

45 posted on 08/05/2011 8:38:09 PM PDT by TigersEye (This is the age of the death of reason.)
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To: unkus
Italian police raid S&P's and Moody's offices -Friday 5 August 2011

Italian police have raided the offices of Standard & Poor's and Moody's over their perceived role in escalating the Italian debt crisis.

In a bizarre move on Wednesday, police took documents from the Milan offices of the two rating agencies with prosecutors saying they were checking whether the CRAs "respect regulations" when carrying out their work.

Prosecutors in Trani - a small port town - first began investigating Moody's in May 2010 after receiving complaints from two consumer bodies about one of its rating reports which said that Italy's banks were at risk from the Greek crisis.

Standard & Poor's is being investigated because it threatened to downgrade Italy's credit rating due to its huge public debt in May this year.

gfsnews

Remember when Moodys fired within when warnings were made "on ratings of mortgage based investments and actively promoted those who helped create the second largest economic crisis in American history after the great depression". [ SOURCE James Pilant ]


46 posted on 08/05/2011 8:39:20 PM PDT by fight_truth_decay
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To: AGreatPer
I wish this was a reason for Impeachment.

It is. There is specific language in the Constitution that gives Congress the authority to remove a president for the things that Obama has done to us.

The problem is, no one on Capitol Hill has the cojones to actually uphold their oaths to the Constitution and the American people. The guy is quite literally destroying this nation before our very eyes, but NO ONE will do a damn thing about it.

Those 535 people who sit under the Capitol dome passing law, after law to restrict and hamstring the American people, are enabling him in every way. They're all complicit in the destruction of our country and our way of life.

You'd think that a people who had so much to lose, would arrest every single one of them, and throw the key away, but no, we're not supposed to do that. Might make the leftists amongst us mad, or the media might say nasty things about us.

I just want to scream......

47 posted on 08/05/2011 8:40:13 PM PDT by Windflier (To anger a conservative, tell him a lie. To anger a liberal, tell him the truth.)
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To: darkwing104
That's a very good point ~ not only are they small potatoes when it comes to REAL MONEY they have yet to clear themselves of criminal culpability in the Mortgage Meltdown.

Maybe the Italian government was correct to raid their offices ~ I have a feeling there's more here than meets the eye.

48 posted on 08/05/2011 8:41:08 PM PDT by muawiyah
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To: AGreatPer
"That he . . . hath traiterously endeavored to subvert the Fundamental Laws and Government of the Realms . . . and instead thereof, to introduce Arbitrary and Tyrannical Government against Law. . . . "he cannot act improperly, and hide either his negligence or inattention; he cannot roll upon any other person the weight of his criminality; no appointment can take place without his nomination; and he is responsible for every nomination he makes. . . . Add to all this, that officer is placed high, and is possessed of power far from being contemptible, yet not a single privilege is annexed to his character; far from being above the laws, he is amenable to them in his private character as a citizen, and in his public character by impeachment."
49 posted on 08/05/2011 8:46:57 PM PDT by fight_truth_decay
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To: riri
Now I understand why thet were spinning this as a Tea Party victory.

Dear God, you're right.

'bam wants a tax hike and this is how he'll get it.

Once again the Republicans were suckered.

Here's where 'bam has a huge advantage over us: the dems, in addition to their brigand mentality, are mathematically illiterate. Abstract ideas are meaningless to them. Free market economic theory depends on abstract reasoning, brigandry doesn't.

Dems put great stock in words. They're pretty clever with them, knowing that without words no one can lie.

Most Americans are mathematically illiterate; their eyes glaze over when confronted with technical arguments, especially when numbers are mentioned. Simple quasi-moral stories and word-piles appeal to them.

There's only one way Republicans will be able to explain things to this country: with pictures. By pictures, I mean graphics and charts. And they'd better be clear, punchy and pretty. There's a lot of visual noise out there.

50 posted on 08/05/2011 8:47:43 PM PDT by tsomer
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