Posted on 07/18/2011 1:30:13 PM PDT by Qbert
Another major bond rating firm on Monday reiterated its threat to downgrade the U.S. government to a B-plus rating if the debt ceiling isnt raised by August 2 and the government defaults on its debts.
The warning from Fitch Ratings comes after Moodys and S&P warned last week that they would lower the U.S. rating from the top mark of AAA if the country is unable to repay its debts next month.
Fitch said Monday that it will place the U.S. rating in what it calls ratings watch negative, a status that can lead to downgrading in three-to-six months.
The ratings agency said it still expects congressional Republicans and President Barack Obama to reach a deal in the next few weeks, but would downgrade the rating if the Treasury Department is unable to pay the $90 billion in Treasury bills that mature on August 4.
Agreement on a credible fiscal consolidation strategy will secure the U.S. AAA status; failure to do so will inevitably weaken the sovereign credit profile and may result in a sovereign rating downgrade, the agency said in a statement.
- You should probably rescind that veto threat there, Chump.
The warning from Fitch Ratings comes after Moodys and S&P warned last week that they would lower the U.S. rating from the top mark of AAA if the country is unable to repay its debts next month.
What does $15 TRILLION in bills do to the rating? Just wondering.
“Did they really write this line?”
It was probably the genius over there a Pollutico4Obama.
“What does $15 TRILLION in bills do to the rating? Just wondering.”
Actually, it’s worse: add another Trillion to that amount.
Are all these credit agencies in obamma’s back pocket, supporting his efforts to increase the debt? Did obamma pay them off with the trillions he stole from the taxpayers?
.....Tells me they don't find us in good shape already with the big drop.
And answer my question: Why would agreeing to indefinitely borrow much more money help this?
Seems to me that cutting spending is the only answer.
By "credible," do they mean a strategy with more lies about reigning in spending and not monetizing the debt, or is that some other "credible?" Interesting how these ratings outfits had no problem with the direction the ship was sailing and only pipe up when the deckhands are trying to keep Captain A-hole from steering directly into the iceberg.
Yeah...I am surprised they still have us at AAA....REALLY surprised. But, then we live in an upside down world.
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