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The US *WILL* Be Downgraded
Market Ticker ^ | 7-28-2011 | Karl Denninger

Posted on 07/28/2011 4:15:05 PM PDT by verklaring

The "most-recent" proposals cut anywhere from nothing in actual spending (Democrat proposal) for 2012 to $90 billion (Republican.) And neither contains any actual cuts on a forward basis - the Republicans are at least honest about it and say they just "hold discretionary non-defense spending at 2011 levels."

That's not a cut in spending.

(Excerpt) Read more at market-ticker.org ...


TOPICS: Business/Economy; Government; News/Current Events
KEYWORDS: bonds; burnbabyburn; debtdeal; denninger; letitburn; market; rating; ratingdowngrade; stocks; ticker
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This downgrade will happen no matter what is passed, if there are no real cuts.
1 posted on 07/28/2011 4:15:08 PM PDT by verklaring
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To: verklaring

The downgrade is coming no matter what. Talk of default are just threats.


2 posted on 07/28/2011 4:18:12 PM PDT by cripplecreek (Remember the River Raisin! (look it up))
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To: verklaring

There are no real cuts. And I seriously doubt there will be any time soon.


3 posted on 07/28/2011 4:19:21 PM PDT by yup2394871293
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To: verklaring

There will not be cuts with men and women such as we have in our WH and Congress

Having just watched Cavuto try to pin down Rep Jan Schakowsky on FOX Business, I am convinced the stupid and greedy hold the high ground

Only total ruin of the nation “may” dislodge them
The impersonal markets will inexorably do what impersonal self-preserving markets do, and they will vote long before 2012


4 posted on 07/28/2011 4:19:54 PM PDT by silverleaf (All that is necessary for evil to succeed, is that good men do nothing)
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To: verklaring

The mere fact we weren’t down-graded several years ago completely belies the credibility of the ratings agencies.


5 posted on 07/28/2011 4:21:01 PM PDT by Psycho_Bunny (Public employee unions are the barbarian hordes of our time.)
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To: verklaring

Frankly, the credit rating of the USA should be on par with Greece with the only exception that the U.S. Fed can print money to infinity to prop up whatever is left of the economy and keep the spending spree going.


6 posted on 07/28/2011 4:21:53 PM PDT by Para-Ord.45
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To: verklaring

Fine.

We each owe $92,000 dollars for the debt and add our annual tax obligations. And this is without any increases!

THERE IS NO MORE MONEY.

Let it collapse.

Not one elected will ever cut a single program so best is to cut all the programs!


7 posted on 07/28/2011 4:25:00 PM PDT by NoLibZone (Life as Nancy Pelosi knows & wants it, must end, Let the nation collapse. DNC vote buys killed it.)
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To: yup2394871293

There are no real cuts. And I seriously doubt there will be any time soon.

This country will fold within 10 years. It is apparent that the current DC Hacks are not capable of solving it, as evidenced by the sham bills on both sides.


8 posted on 07/28/2011 4:28:16 PM PDT by tennmountainman
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To: verklaring
No one in DC ever wants to cut anything. The debt beast grows ever bigger and demands more and more food. O’Spender will be forced to put on the brakes only when the lenders say, ‘THAT'S IT, NO MORE.’
9 posted on 07/28/2011 4:28:47 PM PDT by JPG (Palin '12)
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To: verklaring

The dirty little secret is the rating will be cut anyway...not because of the “argument” about a debt ceiling that is going on, but because the debt itself is so high.

It is independent of this circus in DC about the debt ceiling.


10 posted on 07/28/2011 4:29:59 PM PDT by Cyber Liberty (Oh, well, any excuse to buy a new gun is good enough for me.)
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To: verklaring

>> This downgrade will happen no matter what is passed, if there are no real cuts.

Downgrading our debt would be not only an *honest* rating agency response, but also a blessing in disguise.


11 posted on 07/28/2011 4:41:50 PM PDT by Nervous Tick (Trust in God, but row away from the rocks!)
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To: verklaring

Hey ,Bonehead Wear it well!


12 posted on 07/28/2011 4:41:55 PM PDT by Cheetahcat ( November 4 2008 ,A date that will live in Infamy.)
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To: verklaring
It's true then. Black people ARE seen as a credit risk. One black President and our credit rating goes down! Aint that a m*t&#$ f*$#%*. /s
13 posted on 07/28/2011 4:43:06 PM PDT by allmendream (Tea Party did not send the GOP to D.C. to negotiate the terms of our surrender to socialism.)
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To: verklaring

S&P stated yesterday $4MIL is needed to prevent a downgrade; today the president of S&P said that is not accurate followed by another S&P statement saying that $4MIL in cuts is needed.

We’re on our way to officially being a 3rd world shithole.

Thanks Obama


14 posted on 07/28/2011 4:43:56 PM PDT by Outlaw Woman (Palin/Perry 2012)
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To: verklaring

So what will actually happen if we either have the downgrade or default?

How bad will the economy get? I thought it couldn’t get much worse as it is now..


15 posted on 07/28/2011 4:45:07 PM PDT by CommieCutter (Promote Liberal Extinction: Support gay marriage and abortion!)
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To: verklaring

so why can’t we get the pubies to do the right thing?


16 posted on 07/28/2011 4:45:42 PM PDT by ken21 (liberal + rino progressive media hate palin, bachman, cain...)
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To: ken21

Think “Deer in the Headlights”

or “Oncoming Train”


17 posted on 07/28/2011 4:54:17 PM PDT by jacquej
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To: verklaring

i work with a major financial company; Prudential- an email from the home office was sent out this afternoon saying they expect a downgrade on US Treasury’s....


18 posted on 07/28/2011 4:57:08 PM PDT by God luvs America (63.5million pay no federal income tax then vote demoKrat)
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To: Outlaw Woman

4 million? you mean trillion right?


19 posted on 07/28/2011 4:58:10 PM PDT by cableguymn
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To: Outlaw Woman

Add a few more zeros - it is 4 TRILLION


20 posted on 07/28/2011 4:58:47 PM PDT by RightGeek (FUBO and the donkey you rode in on)
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