S & P is a Joke.

Discussion in 'Economy' started by Truthseeker420, Aug 9, 2011.

  1. Truthseeker420
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    Truthseeker420 Gold Member

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    This final note today, in which S&P beats up on Warren Buffet. The billionaire went on CNBC this morning, said he wasn’t worried at all about the debt downgrade and said, in fact, that the downgrade changed his opinion of S&P — not his opinion of U.S. Treasuries.

    Funnily enough, couple of hours later, S&P put Buffett’s company Berkshire Hathaway on notice for a possible downgrade.

    Hmmm.

    Also, we should note here: Berkshire Hathaway’s the single biggest shareholder in S&P’s competitor, Moody’s.

    Warren Buffett vs. S&P? | News In Brief | Marketplace from American Public Media
     
  2. Flopper
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    Flopper Gold Member

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    People forget that there are three major bonding rating services, Moody's, S&P, and Fitch of which Moody's is the largest. S&P is only one that has downgraded US debt. It's ironic that S&P should be downgrading the government for bailing out institutions that S&P should have downgraded.

    Beginning in the late 1970's these services began charging the bond issuers for their rating which removed any objectivity. Of course that paled in comparison to the deregulation of financial organizations in1980's which allowed these organization to choose who they wanted to regulate them. We saw the results of this insanity in 2008 when bond rating agencies were selling their AAA ratings to organizations that were paying a regulator for the their service. Recently legislation has changed little.
     
    Last edited: Aug 9, 2011
  3. Truthseeker420
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    Truthseeker420 Gold Member

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    It seems like a con game.
     
  4. dilloduck
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    dilloduck Diamond Member

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    Yet the fact these credit rating agencies are a joke does nothing to shake the faith in the American economy. And Americans could care less if the Fed prints and distributes trillions of dollars. If we can buy what we need we'll all be happy even if the stock market crashes to zero.
     
  5. dilloduck
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    dilloduck Diamond Member

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    It IS a con game except for the fact that people are aware of it. We just go along with it because we have no choice.
     
  6. driveby
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    driveby Gold Member

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    Is it S & P's fault or the TEA Party's fault ? You moonbats just can't make up you mind......
     
  7. B. Kidd
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    B. Kidd Gold Member

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    The joke is on you, Obama, and da' rest of us.
    Idiot child!
     
  8. Sallow
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    Sallow The Big Bad Wolf. Supporting Member

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    Well the whole idea that something made of linen and ink and called a "dollar" has value is a "con" job.

    How far do want to take this?

    Economies are abstract..human constructs. That's how we distribute goods and services.

    There are countries that use the barter system..and you are free to move to them.

    But full disclosure.

    They suck.
     
  9. Sallow
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    Sallow The Big Bad Wolf. Supporting Member

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    Both.

    The Tea Party in that it held the economy hostage..almost a first.

    First time in history of doing this that a company used punditry to generate a rating. Usually this is done by math. Which by the way, S&P initially got wrong.
     
  10. Kevin_Kennedy
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    Kevin_Kennedy Defend Liberty

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    S&P is a joke, but only because it took them this long to downgrade U.S. debt and because they most certainly didn't downgrade it enough. The truth is that all these ratings agencies are a joke because they overrate that which should be considered junk.
     

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