S&P to the US: Your credit is no good [White House was prepared for, and expecting, a downgrade] [

Salon ^ | Friday, Aug 5, 2011 21:45 ET | By Andrew Leonard

[fight_truth_decay]

Why the Tea Party-friendly Republicans of the U.S. House own this epic humiliation

On Friday night, after a swirl of rumors and conflicting news reports that will be grist for the Washington pundit mill for years to come, Standards & Poor downgraded the credit rating of the United States.

[fight_truth_decay]

A "scared" lib said to me---we were told it wouldnt happen if we supported Obama on this..the market was a shock then this [sucked in again].. When will they learn?

[ken21]

lol!

arab spring caused our economic problems.

[normy]

Yeah, but just think of how many points the Dow would have dropped and much further our credit rating would have dropped if we wouldn't have done this and passed Cut,Cap and Balance instead /sarc

[blackdog]

I'd like to think that explains him going Greyhound......

I can wish

[Road Warrior ‘04]

It's also worth noting that two of the other big three rating agencies did not downgrade the U.S.'s credit rating...YET!

[Oldexpat]

S&P is a private company. Their office in Italy was just raided by the police. They can’t afford to PO the administration who can call in the IRS, SEC, FBI, etc. They had to downgrade to protect their reputation,but the downgrade is most of all because the of the size of the debt and it’s growth rate.

[Enough is ENOUGH]

Obama has fundamentally transformed our economy as he warned
he would do.

Let your elected officials know exactly how you feel about their job ratings, loud and clear.

CUT, CAP AND BALANCE THE DAMN BUDGET.

FAST TRACK THE BALANCED BUDGET AMENDMENT NOW!!!

Reverse ObamaCare, NOW!

[chuckee]

And George Bush caused Arab Spring. So we are back to square one. George Bush ate my homework.

[Logical me]

Hey Bonehead, Tea Party tried to tell you and you just wouldn’t listen.

[Pearls Before Swine]

Foolish article, foolish comments. The author, and the first half-dozen commenters, buy the story that Obama was prepared to actually make a meaningful "grand bargain" and that the GOP scotched it.

What a bunch of horsehockey. Obama had two goals--borrowing authority large enough to get him through the campaign, and no meaningful cuts in the size of government. He got those.

Yes, he would have liked bigger and more obvious tax raises to build the platform for deficit spending at an even higher level, but that was a secondary consideration. There was no intention of a "grand bargain."

[muawiyah]

S&P is peanuts compared to the size of the US government. They'are nothing but a magazine publisher that's over-extended into specialty titles and heavy mailings.

They are cross-subsidized by the other classes of mail. Charged full rates S&P would be out of business tomorrow.

The market for US Securities is very sophisticated. They buy our stuff for several reasons ~

(1) There's nowhere else to park their money due to a continuing and worsening Great Obama Recession.

(2) We pay off. That's because we have this incredibly large military force so we are in no real danger of being overrun by the screaming hordes of Luxemburg.

(3) All the other government paper on the market can't say that no matter what their bond rating services say.

[Terry Mross]

CNN is trying to convince everyone that:

1) It’s not that bad
2) It’s the republicans’ fault
3) S&P doesn’t know what they’re talking about

They say S&P rated companies AAA that went under the next day. Yet they want to condemn S&P for cutting the U.S. rating.

[NoLibZone]

"Democrats have only been able to agree to relatively modest savings on discretionary spending while delegating
to the Select Committee decisions on more comprehensive measures."

Standard & Poor's

[NoLibZone]

We also believe that the fiscal consolidation plan that Congress and the Administration agreed to this week falls short of the amount that we believe
is necessary to stabilize the general government debt burden by the middle of the decade.

Standard & Poor's

[matt04]

The libs are now trying to blame the Tea Party for something Obama signed.

[NoLibZone]

"..., as we see it, the resulting agreement fell well short of the comprehensive fiscal consolidation program that some proponents had envisaged until quite recently."

Standard & Poor's

[Terry Mross]

One woman said it’s okay for S&P to tell us to raise revenue. Did S&P even say that?

[BMWR1200C]

Read the S&P report and you think it was written by a Tea Party member. That’s why the the establishment hates us. They know we know we right (pun intended).

[NoLibZone]

"Our lowering of the rating was prompted by our view on the rising public debt burden and our perception of greater policymaking uncertainty,..."

Standard & Poor's

[fight_truth_decay]

"The regulatory agencies responded saying there would be no change for risk-based capital purposes for financial institutions."

Bank Failure #63: Bank of Whitman, Colfax, Washington
Bank Failure #62: Illinois ,,,, and the sixth in Illinois...this year...

http://www.calculatedriskblog.com/

Earlier: Misc: S&P Plans U.S. Downgrade, makes math error, ECB to Buy Italian Bonds

A few stories ...