Posted on 08/07/2011 5:17:05 PM PDT by tobyhill
U.S. Treasury debt is as safe as it was before a Standard & Poor's rating downgrade of the United States and Congress' "damaging" debate over raising the country's debt limit, Treasury Secretary Timothy Geithner said on Sunday.
Geithner, in an interview with NBC/CNBC television, also called on European leaders to ensure that there is an "unequivocal financial backstop" for euro zone governments facing fiscal and debt problems.
He added that a double-dip recession was unlikely if governments and central banks made good decisions.
Asked whether Treasuries were as safe now as they were last week, Geithner replied: "Absolutely. And the judgment by S&P changed nothing."
Geithner continued the Treasury's attack on the credit rating agency, which cut the U.S. sovereign rating late on Friday to AA-plus from AAA citing the political gridlock in Washington and a debt deal that produced less fiscal savings than the agency had prescribed.
"I mean I think S&P has shown really terrible judgment and they've handled themselves very poorly," Geithner said. "And they've shown a stunning lack of knowledge about basic U.S. fiscal budget math. And I think they drew exactly the wrong conclusion from this budget agreement."
(Excerpt) Read more at reuters.com ...
Perhaps....for the time being.
The list, ping
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Yes, and those who held Zimbabwe govt debt were all repaid, too! (In Zimbabwe dollars worth next to nothing). But it wasn’t a “default”!
Timmy and 0bama are now applying advice from George Costanza : “ It’s not a lie, if you really believe it”
LET_THEM_EAT_GREEN_SHOOTS_PING!!!
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