Free Republic
Browse · Search
Topics · Post Article

Skip to comments.

Fitch warns on U.S. rating as debt ceiling fight looms
Reuters ^ | Tue Jan 15, 2013 1:36pm EST | Marc Jones, William James and Daniel Bases

Posted on 01/15/2013 11:58:42 PM PST by Olog-hai

The United States faces a “material risk” of losing its AAA status if there is a repeat of the wrangling seen in 2011 over raising the country’s self-imposed debt ceiling, credit ratings firm Fitch said on Tuesday.

The United States scraped up against its $16.4 trillion debt ceiling on Dec. 31 and is now employing special measures to meet its financial obligations. The Treasury Department said those steps could be exhausted by mid-February.

Despite December’s deal by U.S. politicians to avoid the “fiscal cliff” of spending cuts and tax hikes, Fitch’s head of sovereign ratings, David Riley, said pressure on the country's rating was increasing.

“If we have a repeat of the August 2011 debt ceiling crisis, we will place the U.S. rating under review. There will be a material risk of the U.S. rating coming down,” Riley said at a conference hosted by the firm. …

(Excerpt) Read more at ...

TOPICS: Business/Economy; Government; News/Current Events; US: District of Columbia
KEYWORDS: creditrating; debtceiling; fiscalcrisis; ratingsagencies
Uh-huh . . . and what happened last time? The debt ceiling got raised and the rating agencies cut the USA’s credit rating from AAA+ to AAA anyway. Spare us the propaganda, liberal media; many of us have learned from history.
1 posted on 01/15/2013 11:58:56 PM PST by Olog-hai
[ Post Reply | Private Reply | View Replies]

To: Olog-hai

All the Fitch people worry about is gov’t squabbling and inability to cut the deficit. They don’t appear to worry about US defaulting. The only ones mentioning that are Obama, Bernanke, and the MSM.

That’s because it’s pure deception and a fake argument. The US won’t default, as tax receipts still come in and debts are serviced. If there was any danger of that, the ratings agencies would be talking about “A” ratings now.

2 posted on 01/16/2013 2:27:59 AM PST by ReaganGeneration2
[ Post Reply | Private Reply | To 1 | View Replies]

Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.

Free Republic
Browse · Search
Topics · Post Article

FreeRepublic, LLC, PO BOX 9771, FRESNO, CA 93794 is powered by software copyright 2000-2008 John Robinson