THIS MEANS WE HANG IT AROUND THE DEMOCRATS NECK ( no, Sheila, this is not a racist comment)
MAKE OBAMA AND THE DEMS OWN IT.
S&P wants 4 TRILLION in cuts. YOU GOT THAT
THE S&P BAZOOKA
Posted on 07/16/2011 5:56:41 AM PDT by RummyChick
On Thursday night, S&P warned that there was a 50/50 chance the US could lose its AAA rating in light of the debt fight, and the failure to come to a deal.
But on Friday it did something far more powerful: It basically threatened to downgrade every AAA rated financial entity in America, including insurers, if there's no debt deal.
It also threatened to downgrade thigns like Farm Credit Banks, and every municipal entity in America.
Get what's going on? Nobody feels individually responsible for the US AAA rating, but there are lots of managers in every Congressional district in America, who are suddenly individually looking at higher borrowing costs if their Congressmen don't vote the right way. S&P is telling everyone who deals with any financial institution: Your Congress is putting you at risk.
Read more: http://www.businessinsider.com/sp-has-brought-out-the-bazooka-to-get-a-debt-ceilng-deal-done-2011-7#ixzz1SGsgMc6J
(Excerpt) Read more at businessinsider.com ...
THIS MEANS WE HANG IT AROUND THE DEMOCRATS NECK ( no, Sheila, this is not a racist comment)
MAKE OBAMA AND THE DEMS OWN IT.
S&P wants 4 TRILLION in cuts. YOU GOT THAT
THE S&P BAZOOKA
Is this the Hank Paulson bazooka?
Yeah, scare the Republicans into caving.
They are threatening to downgrade the credit standing of a country with more assets than the next dozen countries combined.
In time it will be revealed that Obama or his cronies had a shakedown meeting with the heads of the S&P, you can bet on it.
This sound like liberal blackmail. I say call their bluff.
No more dept ceiling increases, there has to be a limit.
http://investor.mcgraw-hill.com/phoenix.zhtml?c=96562&p=irol-govboard ~ not a meaningless URL since McGraw-Hill OWNS S&P. The board members here are meaningful. First guy up A MEXICAN ~ need we say more. But the Second guy up looks to be ENGLISH but he is still a Director of Eli Lilly, and their candidate is undoubtedly Mitch Daniels. It’s worth reading about the people who make up the Board of Directors of the company that does the S&P stuff. Rather impressive, and no doubt as corrupt a group of people as has ever existed. A very good reason to sell the great foundations and trusts and give the money to the heirs and assigns!
War is Peace
Ignorance is strength
Freedom is slavery
| S&P is so funny
Read about S&P's statement elsewhere. Even the Washington Post says that this warning is less about the debt ceiling than it is about the continuing deficits. Sure, none of these ratings agencies wants to see a short-term default, but neither do they really believe it will happen. What they are warning about is there is no sign of any serious interest in cutting spending and reducing the deficits. If that continues, they must downgrade our debt. |
I’m no expert but wouldn’t a crappy bond rating mean that we would be less able to borrow money and thus forced to balance the budget? I think in that case a ZZZ rating is what this country needs. At least until we get rid of the OBozo.
We need to do a 180 here. Why not let the govt. print 2.5 T dollars a year for there pet projects and stop the charade of collecting taxes? That would cause about a 15% inflation rate which is what the establishment wants from our fiat currency. Let’s end the farce.
#15 Portugal #14 France #13 Sri Lanka #12 Sudan #11 Ireland #10 Belgium #9 Singapore #8 Italy #7 Jamaica #6 Iceland #5 Greece #4 Zimbabwe #3 Lebanon #2 Saint Kitts and Nevis #1 Japan
“Yeah, scare the Republicans into caving.”
What bugs me is that the only specific financial OBLIGATIONS that this country has is to pay its debts to our creditors. EVERYTHING else is negotiable (i.e., Congress can legally cut spending on Social Security and everything else by 50% tomorrow, if they wanted to).
The last time I checked, our debt payments are around $30B or $40B per month...and the government still rakes in around $200B per month.
I fail to see how raising the debt limit affects our ability to make payments to our creditors.
Am I missing something?
By comparison, where do California and Illinois stand?
Which is in more dire condition, France of California?
Illinois or Belgium?
“The outlook assigned at that time to the government bond rating would very likely be changed to negative at the conclusion of the review unless substantial and credible agreement is achieved on a budget that includes long-term deficit reduction.”
Rush pointed out that the credit agencies answer to the White House (thanks to the new financial regulatory laws). I didn’t have a problem with that, as they never did their jobs in the first place.
But now that they answer to the White House, they’re no different than GM, when GM says that they agree with Obama and that all cars should have no greater than a 49cc engine (i.e., a moped engine). Why would GM say that - because they are an arm of the White House and the boss told them to say it. Not too hard to figure out.
Not blackmail. Reality of the country issuing the world’s reserve currency: if the USA can’t pay debts on time, we’ve all got a HUGE problem. AAA rating is for never-late borrowers; if the US is late, AAA rating is not warranted, and everything riding on it gets downgraded too.
This is not a game.
Like it or not, the U.S. is shackled by California and Illinois. One nation.
At some point the situation in Illinois and California will reach a point of collapse. Will the Fed step in and pick up the pieces? That is to be seen, but I expect that they will.
What about when Obozo is no longer at 1600 Penn. Ave.? Another good question.
Agreed.
But a AAA rating can be restored after a few years of significant spending cuts and restorative payment history.
CA debt is $377 billion for a debt to GDP ratio of 19.25%. That's $10K per Californian.
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Before saying that, make sure it isn't Business Insider that's being funny. Business Insider is not a business publication; it's an arm of the leftist media masquerading as a business publication. To hear them tell it, this warning is all about raising the debt ceiling.