[Captain Peter Blood]

If true then it's only a matter of time before Interest rates go up and the interest expense on the debt begins to expand until the federal budget is eaten up by it.
Default is the next step here.

[rawhide]

I heard the interest rate may not go up for average joe seeking a loan, and even if they do, it will be only an eighth of a point or so.

What Congress does now with this info will determine future downgrades, as S&P has warned today, when they will occur and then how much the interest rates will rise.

I suspect obamma does not really care about this news. He is probably out partying tonight, without a care in the world. He still has his job and he is set for life financially.

[pieceofthepuzzle]

“Default is the next step here. “

Unfortunately, I have to agree with you. My instincts tell me that there will be hyperinflation, the life savings of people who worked very hard and were frugal will be eaten up, and resentment for the welfare queens and other solid Obama voting block will rise to unprecedented levels. Our social fabric could melt in this.