S&P Threatens Another Rating Downgrade In As Little As Six Months…

[Apocalypse]

(Bloomberg) — The U.S., lacking a plan to contain $1 trillion deficits, faces the prospect of another rating cut in six to 24 months depending on the outcome of November elections, according to John Chambers of Standard & Poor’s.


America has had an AA+ rating with a negative outlook since Aug. 5 when the New York-based unit of McGraw-Hill Cos. stripped the nation of its AAA ranking for the first time, citing the government’s failure to agree on a path to reduce deficits. The U.S. has a one-in-three chance of another downgrade, Chamber said today during an S&P sponsored Webcast.


“What the U.S. needs is not so much a short-term fiscal tightening, but it has to have a credible medium-term fiscal plan,” said Chambers, managing director of sovereign ratings. “That is going to have to say something about entitlements, and that is probably going to have to say something about revenues.”


Bond investors ignored the downgrade, driving Treasury yields to the lowest levels in history, amid concern the U.S. economy was stalling and as Europe’s debt crisis intensified. Treasuries have returned 3.9 percent since the rating cut and gained 9.8 percent last year, the debt’s best performance since 2008, according to Bank of America Merrill Lynch index data.


“I don’t think anything is going to happen between now and the election in November,” Chambers said.


Keep reading…

So by my understanding, if Obama is re-elected, they will cut our rating again. If Obama is defeated, depending on who we elect, they may cut it, and depending on if we get our shat together and correct this mess.

[Novaheart]

[/INDENT]So by my understanding, if Obama is re-elected, they will cut our rating again. If Obama is defeated, depending on who we elect, they may cut it, and depending on if we get our shat together and correct this mess.

Funny how American spends so much money on psychics and other scams.

[Rockntractor]

Funny how American spends so much money on psychics and other scams.

Which thread today does this have something to do with?

[AmPat]

Which thread today does this have something to do with?

He doesn't know. He merely saw the facts arrayed against his god,,,,,AGAIN, and he couldn't help himself. ;)

[Arroyo_Doble]

The last time they did that, our borrowing costs went down.

I don't think anyone is listening to them anymore. Maybe it was their habit of taking cash for ratings or giving their AAA stamp to toxic, mortgage junk.

[AmPat]

The last time they did that, our borrowing costs went down.

I don't think anyone is listening to them anymore. Maybe it was their habit of taking cash for ratings or giving their AAA stamp to toxic, mortgage junk.

Yeah, probably nothing to it. We should just keep printing money and spend until we run out of paper and ink. Nothing to see here, move along folks.

[Novaheart]

Yeah, probably nothing to it. We should just keep printing money and spend until we run out of paper and ink. Nothing to see here, move along folks.

I think it's possible for one to have no regard for Standard and Poor without leaping through firehoops to supporting financial armageddon. S&P might be entering the world of Rex Reed- witty and biting but out of touch and disregarded.

[AmPat]

I think it's possible for one to have no regard for Standard and Poor without leaping through firehoops to supporting financial armageddon. S&P might be entering the world of Rex Reed- witty and biting but out of touch and disregarded.

Yeah, you're probably right. There is no possible link between our administration's out of control spending habits, the printing of massive amounts of stylish yet soon to be worthless paper currency, and the potential SECOND down grade of our credit rating.
Nope, what was I thinking? Must be all that hatred from S&P.

[Odysseus]

Funny how American spends so much money on psychics and other scams.

Yes, why even as I write this, one scam artist is trying to raise $1 billion to get himself reelected.

[AmPat]

Yes, why even as I write this, one scam artist is trying to raise $1 billion to get himself reelected.

He'll get it too. The evil cabal consisting of the DimoRat party, the liberal media, and all the financiers and handlers of the evil left will ensure that he has plenty of money to maintain power. The usual liberal sheeple aren't the target, they'll vote for their god as dutiful little disciples. The target is those sitting the fence who are ignorant of the history of the US and ignorant of current events.