Posted on 08/06/2011 5:28:58 AM PDT by tobyhill
Credit rating agency Standard & Poor's has downgraded the U.S. credit rating for the first time ever, from the top rank of AAA to AA+.
S&P said it lowered the rating because the deficit reduction plan Congress passed on Tuesday did not go far enough to stabilize the country's debt situation.
The agency said Friday's downgrade reflects its view that the "effectiveness, stability and predictability of American policymaking and political institutions have weakened" to a greater degree than it envisioned several months ago. It said this weakening has taken place at a time of "ongoing fiscal and economic challenges."
S&P said the outlook on the new rating is "negative," meaning another downgrade could follow within the next two years.
The U.S. Treasury Department called the S&P judgment "flawed," saying the agency made a $2 trillion error in its calculation of U.S. deficits. S&P acknowledged the error, but upheld its decision.
(Excerpt) Read more at voanews.com ...
Impeach the utterly failed lame duck!
Holder federal "investigation" coming to S&P very soon!! Wannabet??
Get rid of all the illegals. Problem solved.
Are standard & poors now considered terrorists too?
Read this one on Facebook - President Obama is so unpopular right now that Kenyans are claiming he was born in America
How does this affect the stock market? Does the dollar go higher or lower? Or do they both plunge simultaneously?
I am really shocked that this has happened. I thought they would simple change the standards that defines the AAA rating. I mean, think about it. They change the companies that make up DOW 30 when it looks like the DOW will be trending downward. Same for the Nasdaq, S&P, Russell, etc. They change the calculations for; inflation, CPI, GDP, ... the list goes on and on. These ratings and the numbers out of Washington and Wall Street mean nothing.
Medicaid has expanded beyond anything imagined and no one has the guts to put some limits on it or get rid of it all together.
Section 8 programs basically give housing away to people that either work under the radar or addicted to the Gubermint.
Food Stamps and subsidized transportation are also debt crushers.
Holder federal “investigation” coming to S&P very soon!! Wannabet??
I read yesterday that Italian Police had raided the S+P offices in Italy to start an investigation after some problems in that country were linked to their ratings.
WHEN IS AMERICA GOING TO WAKE UP AND DEMAND THIS FOOL-IN-CHIEF BE IMPEACHED?
HE IS TRASHED EVERYTHING HE TOUCHES AND HE STILL HAS A YEAR+ TO TAKE US DOWN EVEN FURTHER.
REMEMBER, THE DEEPER HE TAKES US DOWN, THE MORE TIME WE WILL HAVE TO SPEND DIGGING OUR WAY BACK OUT.
PLEASE CALL YOUR ELECTED OFFICIALS DAILY AND TELL THEM TO IMPEACH, IMPEACH, IMPEACH, IMPEACH NOW!
I think morning trading will be about a 400 point drop then recover a couple hundred from bargain shoppers.
S&P are just racists. :)
Bump this to the stooges on FR who insist on blaming Bush i & ii.
Of course, this was back in the days before Fox News, but I remember shouting at the TV, "BUT THAT'S NOT WHAT THE GOVERNMENT IS DOING!!!" Of course, not being Fox News, the infobabe didn't dispute the statement...
The simple fact is that what the government is doing is analogous to someone who's taking out a cash advance on one credit card in order to make the minimum payment on the rest of the credit cards, as well as for paying his day to day expenses. Eventually, all the credit cards will be maxed out, and you won't be able to make even the minimum payment, or buy groceries or gasoline. And that's exactly where our government is heading.
Once you explain it that way, even a liberal can begin to understand what's going on. Of course, I'm also starting to think that this is the reason that the federal government began getting so involved in the formerly state run public school systems. In order to "dumb down" the public, so they'll accept the BS that the government keeps feeding us about finances and "the economy."
Mark
America would gladly take Bush’ 500b deficit this year and some Jimmy Carter on the side. Barry Dunham is an unmitigated disaster.
http://www.treasurydirect.gov/NP/BPDLogin?application=np
Very good site that shows exactly what part of the debt belongs to whom.
Well Obama is partly to blame.. I blame 40+ years of the welfare state that really did this..
“The U.S. Treasury Department called the S&P judgment “flawed,” saying the agency made a $2 trillion error in its calculation of U.S. deficits.”
2 trillion here, 2 trillion there...what difference does it make?
You are right on the mark about Bush’s $500 billion deficit.
Oct 1, 2008 to Jan 20, 2009 the deficit was $502 billion and not $1.3 trillion as the MSM keeps claiming.
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