Merged Credit downgrade threads

[Neotrotsky]

Really the S&P does nothing to support the Left's position

Truth is hard for the Left
In fact it is their worst enemy


They also stated

S&P also said

"Standard & Poor’s takes no position on the mix of spending and revenue measures that Congress and the Administration might conclude is appropriate for putting the U.S.’s finances on a sustainable footing."

"In addition, the plan envisions only minor policy changes on Medicare and little change in other entitlements, the containment of which we and most other independent observers regard as key to long-term fiscal sustainability."

 

[dilloduck]

Why S&P cut US credit rating was cut from 'AAA' to 'AA+'



Here is a press release issued by S&P that explains the reasons behind its move:

We have lowered our long-term sovereign credit rating on the United States of America to 'AA+' from 'AAA' and affirmed the 'A-1+' short-term rating.



We have also removed both the short- and long-term ratings from CreditWatch negative.

The downgrade reflects our opinion that the fiscal consolidation plan that Congress and the Administration recently agreed to falls short of what, in our view, would be necessary to stabilize the government's medium-term debt dynamics.

More broadly, the downgrade reflects our view that the effectiveness, stability, and predictability of American policymaking and political institutions have weakened at a time of ongoing fiscal and economic challenges to a degree more than we envisioned when we assigned a negative outlook to the rating on April 18, 2011.

Since then, we have changed our view of the difficulties in bridging the gulf between the political parties over fiscal policy, which makes us pessimistic about the capacity of Congress and the Administration to be able to leverage their agreement this week into a broader fiscal consolidation plan that stabilizes the government's debt dynamics any time soon.

The outlook on the long-term rating is negative. We could lower the long-term rating to 'AA' within the next two years if we see that less reduction in spending than agreed to, higher interest rates, or new fiscal pressures during the period result in a higher general government debt trajectory than we currently assume in our base case.

What Congress passed was a joke and merely kicked the can. If the D.C. cronies (BOTH sides) don't get their shit together we will be downgraded again.

To avoid a downgrade, S&P said the United States needed to not only raise the debt ceiling, but also develop a "credible" plan to tackle the nation's long-term debt.

John Chambers, head of sovereign ratings for S&P, said the slowness at raising the debt ceiling and the political infighting led to its decision. In announcing the downgrade, S&P cited "political risks, rising debt burden; outlook negative."

World reacts to U.S. credit downgrade - CNN.com

Yes they did kicj=k the can down the road.

The thing is the road they used to kick the can down was a road never traveled before.

You see the TEA Party USED a tactic that had NEVER been used before.

They held the Amreican people hostage to their demands.


The financial system now knows this rule of the past (dont mess with the debt ceiling vote) has now been breached.

Listen to the tea party people like Mitch McConnal, he thought it worked great and is looking for more hostages.


That is what SP talked about in their release.

Did you really think we could borrow money forever ? I mean seriously.

 

[MDW]

1st of all, how dare the S&P. These are the same idiots that gave Lehman
Bros and AIG a great rating. Don't know why they're even around. 2nd, how dare the GOP. It is so clear that Bohner has no control over the idiot chauffer Cantor and the others that have no regard for the American poor or middle class. With the market plunging, the GOP has insured that the moderately well-to-do have no future at all. There is no place for brinkmanship in this country. Unless, of course, you're one of the single minded, egotistical a__holes that seem to make up the party of cuts and no taxes on the wealthy

 

[Avorysuds]

This is going to be tuff on Obama... And the more Obama/Dems/TM/RW/media try and spin it the worse it will be.

 

[Avorysuds]

Why S&P cut US credit rating was cut from 'AAA' to 'AA+'



Here is a press release issued by S&P that explains the reasons behind its move:

We have lowered our long-term sovereign credit rating on the United States of America to 'AA+' from 'AAA' and affirmed the 'A-1+' short-term rating.



We have also removed both the short- and long-term ratings from CreditWatch negative.

The downgrade reflects our opinion that the fiscal consolidation plan that Congress and the Administration recently agreed to falls short of what, in our view, would be necessary to stabilize the government's medium-term debt dynamics.

More broadly, the downgrade reflects our view that the effectiveness, stability, and predictability of American policymaking and political institutions have weakened at a time of ongoing fiscal and economic challenges to a degree more than we envisioned when we assigned a negative outlook to the rating on April 18, 2011.

Since then, we have changed our view of the difficulties in bridging the gulf between the political parties over fiscal policy, which makes us pessimistic about the capacity of Congress and the Administration to be able to leverage their agreement this week into a broader fiscal consolidation plan that stabilizes the government's debt dynamics any time soon.

The outlook on the long-term rating is negative. We could lower the long-term rating to 'AA' within the next two years if we see that less reduction in spending than agreed to, higher interest rates, or new fiscal pressures during the period result in a higher general government debt trajectory than we currently assume in our base case.

What Congress passed was a joke and merely kicked the can. If the D.C. cronies (BOTH sides) don't get their shit together we will be downgraded again.

To avoid a downgrade, S&P said the United States needed to not only raise the debt ceiling, but also develop a "credible" plan to tackle the nation's long-term debt.

John Chambers, head of sovereign ratings for S&P, said the slowness at raising the debt ceiling and the political infighting led to its decision. In announcing the downgrade, S&P cited "political risks, rising debt burden; outlook negative."

World reacts to U.S. credit downgrade - CNN.com

Yes they did kicj=k the can down the road.

The thing is the road they used to kick the can down was a road never traveled before.

You see the TEA Party USED a tactic that had NEVER been used before.

They held the Amreican people hostage to their demands.


The financial system now knows this rule of the past (dont mess with the debt ceiling vote) has now been breached.

Listen to the tea party people like Mitch McConnal, he thought it worked great and is looking for more hostages.


That is what SP talked about in their release.

The Tea Party put up for a vote a balanced budget with a surplus in just 5 years that didn't touch MC/MC/SS/... We can spam this at you all day but you will never hear it because you never wanted a fix in the first place. TM, we all know you wanted this to happen, now you can blame the last 3 years of failed policy on the minority in the House, the Tea Party...

The only people that buy what you say is the other 10 people that spam boards with that kind of crap. Get used to the fact that most Americans don't even know what congress is, nor what the Tea Party is, they only know the President and that the economy sucks... meaning economy suck = Obama. When it was Bush it didn't matter that there was a Dem congress for 2 years, do you know why TM? Because economy sucks = President and in that case it was Bush.

 

[presence06]

Ok. I'll admit, I'm not informed enough about the teaparty. I do support Ron Paul (don't hate) though.

But what I don't understand is, when people say that the Tea Party "Held a Gun to America's head" and got things done, does that mean the entire TP or just the Repteapartiers?


I'm just trying to understand the Tea Party more. A guy I work with was telling me what he things about the TP, and how they've been hijacked by Republicans (Bachmann..etc).


From what I understand is that the Ryan bill had cut the recommended 4 trillion, but Obama wanted more taxes and which caused the name calling to start. Then the Tea Party stood their ground on no taxes...

just looking for some clarification.
Thanks..

 

[washamericom]

And why hasn't S&P released Obama's birth certificate yet?

it's in the vault harper... "america's vault" they did however downgrade it's status to "reasonable forgery of a virtual nature" it's a "double A" forgery.

 

[code1211]

You are a hopeless partisan

If a guy is actively trying to burn down my house, I must actively try to stop him. The Big 0has failed to help while he has succeeded ion doing everything he has planned to do.

What has he done that has or will help the country recover from the debt that he is running up at the rate of 1.5 Billion dollars every day?

As far as I can tell, he has only contrived methods to accelerate the debt build up, stopped efforts to hold it down, promoted fiscally reckless policies and told all Americans that any kind of fiscal restraint is the work of the Devil.

You can't seriously be promoting this kind of abandonment of responsibility, can you?

 

[Neotrotsky]

The Great Liberal mind
Papa Obama makes sense

 

[ekrem]

Where did all the money go?

How much bridges have you built, how much trains, how much high-speed trains, how much airports, how much roads.........

 

[MDW]

Piss off, what's a Your a peein American anyway?

 

[Truthmatters]

Debt downgrade: Views from finance world - Business - Stocks & economy - msnbc.com

 

[Chris]

In 2006, Obama told us that raising the debt was a sign of "Failed Leadership" Under the leadership of Obama and the hyperdrive spending of the Democrat Congress, we have not only lost our AAA credit rating, but we also learn that Social Security benefits cannot be paid unless we're able to borrow more.

Obama was presently with a sane, adult plan to lead us back to fiscal sanity, he rejected it. His one and only goal was the unfettered ability to borrow until the end of his one and only term. The Capital Market reacted swiftly as did S&P.

He got that, and we got downgraded. We have a Failed Leader as POTUS. Obama, the Downgraded President.

The debt was created by the Bush tax cuts, a trillion dollar unfunded Bush drug program, and two unfunded useless wars that Bush started.

But carry on with your delusion.

 

[Neotrotsky]

so say the delusional leftist ...



PapaObama has spent as much as Bush in three
years that took Bush eight

 

[Chris]

so say the delusional leftist ...



PapaObama has spent as much as Bush in three
years that took Bush eight

Link?

 

[Toro]

I'll say this - it certainly doesn't help his re-election chances.

 

[Truthmatters]

Only a DimoRAT would claim spending like there is no tomorrow is not "dysfunctional," and trying to put a stop to it is.

The failure of Congress to get DimoRAT spending under control is the reason S & P downgraded government bonds.

According to what I've been reading and watching this morning... I had a gig last night with the band, so I didn't even hear about it till I woke up.... is that the downgrade wasn't about our debt. It was about our dysfunctional Congress and the ridiculous fight to raise the ceiling.

Compound that with the fact that people like Ryan, McConnell and the like are calling for that battle EVERY TIME the ceiling needs to be raised. So they want to make that dys-functionality a permanent part of the way we do business.

Congrats, Tea Party... this one's on you.

Dick Cheney on Budget & Economy



Former Treasury Secretary Paul O'Neill was told "deficits don't matter" when he warned of a looming fiscal crisis

 

[Neotrotsky]

so say the delusional leftist ...



PapaObama has spent as much as Bush in three
years that took Bush eight

Link?

Check your old posts
we have done this before
senility must be a problem for you
or playing dumb
tough call....


It is the truth and you know it

Truth is hard for the Left
in fact it is their worst enemy

 

[Neotrotsky]

I'll say this - it certainly doesn't help his re-election chances.

No doubt

 

[ekrem]

Piss off, what's a Your a peein American anyway?

There goes the American "exceptionalism".