US credit ratings downgraded. Watch out Monday!

[Kadarin]

Thank you Tea Party and Republicans in general, for being asshats.

 

[mizzou]

from what i've heard it's still not going to be that big of a deal

 

[Imp]

Wasn't it back during the subprime mortgage crisis were these so-called rating agencies rating investment and banking institutions triple AAAs as well? And people still think they are credible?

Aw, you're right, but remember, this is the stock market we are talking about.

You know, the market that jacked up oil to record levels because of the "crisis" in Libya. You know, the country that supplies about 1 or 2% of US oil production.

 

[Greenman]

Wasn't it back during the subprime mortgage crisis were these so-called rating agencies rating investment and banking institutions triple AAAs as well? And people still think they are credible?

This. It's all bullshit, it's corporate America making a political statement. The blood suckers couldn't rate the US high enough when they had their sweaty little hands out for Federal money.

 

[episodic]

Ok, so what does this mean for the average guy. . . please translate.

 

[Printer Bandit]

i'm having a doomgasm.

 

[thecrecarc]

Doesn't Microsoft and Johnson and Johnson still have AAA ratings? This implys that the U.S. is a less secure investment than either of the two companies. That is highly dubious, if the US screws up, both of those corps will go in the hole too. Unless corporations and nations are graded on a different scale or something...

 

[Squisher]

I must be missing something here. Numerous posters are blaming the repubs (and tea party) because they didn't want to go along with raising the debt ceiling. The quote from the OP said the credit rating agency said that they feel we didn't do a good enough job stopping our over spending ways. How would agreeing to spend more money satisfy the rating agency that is saying we are spending too much money?

 

[mizzou]

i'm having a doomgasm.

we are remotely no where near "doom"

if anything, all financial analysts are drooling with temptation monday. Remember that almost all major companies have posted solid gains and employment #'s are promising.

 

[paulney]

I dumped 10 grand over the past 3 days into the indexes. It's like a break I was waiting for because I mostly missed the rally, so now here's the second chance. Whooohooo.

The S&P has clearly over-corrected - the GDP and all the other indicators suggest 1350 -1450 by the end of the year. This panic is unsubstantiated, and is just that - panic fueled by rumors.

 

[brianmanahan]

imo my sellout is looking pretty good now, i dont have a rosy feeling about all this

i may get my passport out just in case i got to escape to canada if things get real bad

 

[paulney]

imo my sellout is looking pretty good now, i dont have a rosy feeling about all this

i may get my passport out just in case i got to escape to canada if things get real bad

lolwtf.

 

[sdifox]

I must be missing something here. Numerous posters are blaming the repubs (and tea party) because they didn't want to go along with raising the debt ceiling. The quote from the OP said the credit rating agency said that they feel we didn't do a good enough job stopping our over spending ways. How would agreeing to spend more money satisfy the rating agency that is saying we are spending too much money?

Over spending needs to be controlled. 2 ways to do that, raise taxes and or slash spending. Tea partier are not interested in the raising taxes bit, not even the cutting subsidy bit. That is why. Republicans voted to extend corporate tax cuts that was expiring then come around bitching about spending. This whole soap opera drives me nuts.

I am not saying the Democrats are any better, after all this hole took many people to dig. But there is a point in time where your ideology should be put aside for the good of the country. Given the hole the USA is in, there is no way you can solve the problem with reduce expenditure alone.

 

[sandmanwake]

Isn't the raising of the debt ceiling was so we could pay for debt we already incurred rather than to authorize to borrow more? Refusing to raise it is like if someone were to pay all their bills with their credit card and then say that they won't pay the credit card bill.

Refusing to take on more debt is one thing, but wanting to default on debt you already owe and debt you authorized before is a pretty dick move if you're a member of Congress.

 

[Sluggo]

Yep, all the fault of the Bush tax cuts, and those wealthy pigs wiping their asses with the million dollar bills they made on the backs of the working class.

Never mind the fact that we could raise the taxes on the wealthy five fold from their present levels and not even make a sizable dent in our annual deficit, much less our current debt. Assuming of course that spending even stayed at current levels, not increasing as our esteemed members of Congress saw all those billions rolling into the treasury.

 

[Squisher]

Over spending needs to be controlled. 2 ways to do that, raise taxes and or slash spending. Tea partier are not interested in the raising taxes bit, not even the cutting subsidy bit. That is why. Republicans voted to extend corporate tax cuts that was expiring then come around bitching about spending. This whole soap opera drives me nuts.

I am not saying the Democrats are any better, after all this hole took many people to dig. But there is a point in time where your ideology should be put aside for the good of the country. Given the hole the USA is in, there is no way you can solve the problem with reduce expenditure alone.

OK, were there ever significant tax increases or significant reductions in subsidies ever on the table during these most recent discussions? I heard of talk of things along these lines, but nothing would have impacted the debt significantly. These are dire times, I see no bold moves from either side of the aisle.

 

[KK]

I must be missing something here. Numerous posters are blaming the repubs (and tea party) because they didn't want to go along with raising the debt ceiling. The quote from the OP said the credit rating agency said that they feel we didn't do a good enough job stopping our over spending ways. How would agreeing to spend more money satisfy the rating agency that is saying we are spending too much money?

Nah, you aren't missing anything. just the same old, same old. Obama and Co. are going to bring this country down.

Oh, how is this not P&N?

 

[lothar]

Doesn't Microsoft and Johnson and Johnson still have AAA ratings? This implys that the U.S. is a less secure investment than either of the two companies. That is highly dubious, if the US screws up, both of those corps will go in the hole too. Unless corporations and nations are graded on a different scale or something...

1.) Yes.
2.) And yes, the US is a less secure investment than those companies.
3.) No, they will not.
http://www.bloomberg.com/news/2011-...-withstand-u-s-negative-outlook-s-p-says.html

 

[manlymatt83]

I must be missing something here. Numerous posters are blaming the repubs (and tea party) because they didn't want to go along with raising the debt ceiling. The quote from the OP said the credit rating agency said that they feel we didn't do a good enough job stopping our over spending ways. How would agreeing to spend more money satisfy the rating agency that is saying we are spending too much money?

Because people are dumb.

 

[CPA]

LOL, the Dems and OBama are now going to blame the S&P. What buffoons.

 

[lothar]

If you believe these guys, I have some AAA mortgage backed securities I can sell you. lulz

Wasn't it back during the subprime mortgage crisis were these so-called rating agencies rating investment and banking institutions triple AAAs as well? And people still think they are credible?

What is the historical default rate for corporate and municipal security issues rated AAA?
Have you done your research?

 

[sdifox]

OK, were there ever significant tax increases or significant reductions in subsidies ever on the table during these most recent discussions? I heard of talk of things along these lines, but nothing would have impacted the debt significantly. These are dire times, I see no bold moves from either side of the aisle.

It has to be done, but it wasn't going to happen in round one. Biggest problem the US is facing is the lawmakers are in corporate pockets. All lawmakers.

 

[zinfamous]

Yes, obviously, we should have just raised the debt ceiling, borrowed some more money and continued with our heads in the sand.

so, like the previous 74 times that has been done since 1901, and us--next to Denmark, being the only industrialized, first-world nation that even ahs a useless and meaningless debt ceiling?

face it--the only reason this ceiling exists is to provide a platform for political stagemanship and finger-pointing baloney. the only thing that happened here is that everyone lost.


...also, why the fuck do we care what S&P--the company that repeatedly gave AAA ratings to AIG, Lehmans, Bear Stearns, Frannie/Freddie, DESPITE the repeated warnings from many, many sources, over several years before their collapse?

why does what they say matter any more?

 

[Nintendesert]

The President signed it, he owns it.

 

[zinfamous]

Because people are dumb.

one of the big problems is willingness to pay--of course the US had/has money to pay their debts.

the real problem with the credit rating was seeing that we aren't willing to pay.

what happens to your credit rating when you are late with your bills, despite the clear ability to pay them?