Tell him the race card is overdrawn!
Cheers!
Winning!
The WH is saying S&P made an error. If that’s the case, how can it be the republicans’ fault?
IMHO, allowing credit companies like this to make statements like, “It’s not enough” is allowing them too much power. What will happen when a politically motivated credit rating service threatens to downgrade the nation’s rating if it doesn’t raise taxes?
Actually the US credit rating was downgraded before the Debt Ceiling debate by another rating agency. When it was clear that total current debt would only go way up, the downgrading by all agencies was inevitable. We needed massive cuts in federal programs. Did not occur. The DC ingrates refused to take their medicine and they will pay the price.
Weiss Ratings beat S&P to the punch:
http://ml-implode.com/viewnews/2011-07-15_WeissRatingsDowngradesUnitedStatesDebttoCMinus.html
Weiss Ratings Downgrades United States Debt to C-Minus
2011-07-15 — weissratings.com
“Weiss Ratings, an independent rating agency of U.S. financial institutions and sovereign debts, has downgraded the debt of the United States government from C to C-minus.
The C-minus rating for the U.S. reflects a continued deterioration in the weaknesses cited in the Weiss Ratings release of April 28, 2011, including heavy debt burdens, shaky international stability, and poor economic health.
Weiss Ratings senior financial analyst Gavin Magor commented: “Our downgrade today is not contingent on the outcome of the debt ceiling debate in Washington. It is driven exclusively by the numbers, which indicate that, in addition to a decline in the long-standing weaknesses we noted three months ago, the U.S. has already lost the golden halo that helped guarantee liquidity and acceptance of its government securities in global markets.”
On the Weiss Ratings scale, which ranges from A (excellent) to E (very weak), a C-minus rating is the approximate equivalent of a triple-B-minus on the scales used by other credit rating agencies, or approximately one notch above speculative grade (junk).
About Weiss: By adhering to its independent business model, Weiss outperformed Standard and Poor’s, Moody’s, A.M. Best and Duff & Phelps (now Fitch) in warning of future life and health insurance company failures according to a 1994 study by the U.S. Government Accountability Office (GAO), while also outperforming its competitors in identifying the safest insurers, according to its follow-up study using the GAO’s research methodology.
http://weissratings.com/Login.aspx?a=r
U.S. Sovereign Debt Rating Close to “Junk”
by Weiss Ratings | July 14, 2011
“Weiss Ratings is very close to downgrading the sovereign debt rating of the United States one more notch to a ‘C –’, which will put it just one notch above junk,” Martin Weiss, President of Weiss Ratings told CNBC on Wednesday.
“In April, Weiss Ratings gave the U.S. sovereign debt rating a ‘C’. A ‘C’ is equivalent to approximately a triple-B on the S&P, Moody’s and Fitch scales. Its two notches above junk, Weiss told CNBC in May. Weiss added that while the rating was weak, the debt situation was not in a danger zone that should trigger panic.
In yesterday’s interview with CNBC, Weiss responded to Moody’s Rating Agency placing their U.S. triple-A rating on review for a downgrade in the coming weeks on mounting concern that legislators will fail to raise the debt limit in time to avert potentially drastic effects.
The U.S. government is deadlocked in negotiations to raise the $14.3 trillion debt ceiling by August 2 before a potential default. President Obama announced on Tuesday, that failure to increase the debt ceiling would jeopardize payments to Social Security and Veteran’s benefit recipients.
Weiss believes a downgrade by the large rating agencies is long overdue, noting that the top-notch standard assigned to the U.S. is unfair to investors and savers as they are not being compensated for the level of risk they are taking.
“The U.S. has a huge debt load compared to most other countries,” he said. “And, has a very unstable economy over the last 10 years compared to most other countries.” The U.S. ratio of debt-to-gross domestic product is currently over 90 percent.
“The only thing that’s really holding up the U.S. debt rating is a widespread international acceptance for U.S. Treasury securities and nice strong liquid market. But even that might be coming into question,” according to Weiss.
Weiss is hopeful that a last minute deal will fend off a potential crisis for U.S. and world markets. He pointed out that three years ago the legislature’s failure to pass a bailout package sent markets into a tailspin, and forced Congress to sign off on it.
He said, “We might see a similar scenario here in the debt ceiling debate, a failure at first and then a desperate deal in the thirteenth hour to rescue the situation at the last minute.”
Based on the government’s continued failure to agree on terms for raising the U.S. debt ceiling and the looming deadline, Weiss Ratings is reviewing its current ‘C’, rating signaling consumers that a ‘C-’ rating might be a fairer assessment under the circumstances.”
In the comment area, there are libs arguing that we the Republicans had just allowed a tax increase, the budget would have been fine.
Of course, these simpletons don’t realize that no amount of income confiscation will ever satiate Washington - there’s always another special interest to buy off with the dollars - and the debt would still never be addressed.
Here in Illinois they increased our income tax by 2% to 5% this year. At the same time, they increased our spending 1.7%, leaving us in an even bigger hole than we were already.
Liberals think you can just spend yourself into a recovery, while a-holes like 0bama use these idiots to achieve purposeful ruination of America for Cloward-Piven gain.
LOLOLOL
Who fought to borrow more and spend more?
Hint: it wasn't the Tea Party or Republicans.
Who fought to borrow less and spend less?
Hint it wasn't Obama or the dying old media.
If Obama got his way we wouldn't be Double AA but junk-bond status.