BREAKING:U.S. Credit rating downgraded AGAIN

Thanks alot,Liberals

http://www.reuters.com/article/2012/09/14/usa-ratings-eganjones-idUSL1E8KEGNA20120914

Egan-Jones downgrades U.S. credit rating to AA- from AA


NEW YORK, Sept 14 | Fri Sep 14, 2012 3:43pm EDT

(Reuters) - Ratings agency Egan-Jones on Friday downgraded the U.S. country rating to AA-minus from AA, citing the Federal Reserve's latest stimulus program to boost the sluggish economy.

The Fed on Thursday said it would pump $40 billion into the U.S. economy each month until it saw a sustained upturn in the weak jobs market.

"(The) Fed's QE3 will stoke the stock market and commodity prices but in our opinion (it) will hurt the U.S. economy and, by extension, credit quality," Egan-Jones said in a statement about the latest quantitative easing program.

"The increased cost of commodities will pressure profitability of businesses, and increase the costs of consumers thereby reducing consumer purchasing power."

Moody's Investors Service currently rates the United States Aaa, Fitch rates the country AAA, and Standard & Poor's rates the country AA-plus. All three of those ratings have a negative outlook.

President Downgrade x2 .Moodys may also downgrade us as well.
So this is moving "Forward"?

 

hope and change baby

we'd better hope for a change in the WH in november

 

Yes, Its forward toward the abyss....

 

[video=youtube;wRK6E1ruMDI]http://www.youtube.com/watch?v=wRK6E1ruMDI[/video]

Alpha-Omega.

 

Way to go Helicopter Ben. Nice (*)(*)(*)(*)ing work...

 

Moodys is set to do the same:
http://brainerddispatch.com/opinion/2012-09-13/moodys-set-downgrade-us-credit-rating-again
Moody's set to downgrade U.S. credit rating, again
Posted: September 13, 2012 - 4:54pm

What is just around the corner and has all of America’s credit holders nervous? A likely downgrading of the U.S. governments rating by Moody’s Investors Service.

So, what’s the big deal?

The big deal will hit U.S. when we begin paying off the $16 trillion debt load we’re carrying. It’s going to increase the amount of interest we have to pay on that enormous debt.

Since the president and his administration failed to present one budget to date, Congress has no idea what our nation’s fiscal future holds — except higher rates when both houses of Congress are asked by the administration to raise the debt ceiling. That’s when it’s going to get ugly.

Back in 2011, Moody’s downgraded the U.S. government’s rating for the first time in history. At present, the nation’s rating is Aaa. Moody’s told Market News International (MNI) that the U.S. ability to hold onto its current Aaa rate was a “negative outlook into 2014 as unlikely.”

If Moody takes another dim view of our government’s failed attempts to get control of spending, the rating could fall to Aa1.

“The rating outlook also assumes a relatively orderly process for the increase in the statutory debt limit, says Moody’s,” according to MNI. “The debt limit will likely be reached around the end of this year, and the government’s ability to meet interest and other expenses out of available resources would likely be exhausted within a few months after the limit is reached.”

This may sound like a scare tactic, but Moody’s doesn’t play games with U.S. or any other nation that is spending more than it takes in from its citizens.

If our leaders continue to lead from behind, this could push the U.S. over the fiscal cliff.

Keith Hansen

 

Borrowing and printing money is Obama's solution to fix things. Man, he is a real economic whiz kid! lol! I think a few more apologies to the Muslim nut cases and all will be just peachy....

 

The government's unconstitutional monopoly on money is continuing to disintegrate. It seems American workers are buckling underneath the pressure of the central banking scam.

 

Good; we shouldn't be borrowing money anyhow. Don't spend what you don't have.

 

This statement makes no sense. The reason why our credit rating was downgraded is because our central bank is financing yet MORE government debt by "printing" billions of dollars and injecting it into the "private" banking system. In other words, we were downgraded precisely because we are borrowing WAY too much money. And who are we "borrowing" this money from? Our own central bank, of course. It's a giant scam to fatten up the banking cartel. Wake up.

 

more:
http://www.forexlive.com/blog/2012/09/13/egan-jones-analyst-hints-at-us-rating-downgrade-post-qe3/

–QE3 To Lead To higher Unemployment, Stall US Growth Within Months
–’We Are Not Receiving QE3 Positively’

By Yali N’Diaye

WASHINGTON (MNI) – The latest round of quantitative easing
announced Thursday by the Federal Reserve will almost certainly trigger
a rating downgrade by Egan-Jones.

Already the rating agency had warned on Wednesday when it affirmed
the U.S. rating at AA that “QE3 will likely trigger a negative action.”

Given that the outlook is already negative (AA-), a downgrade to
AA- would be a logical next step for the rating agency.

“We are not receiving QE3 positively,” Vice President and
co-manager of the ratings’ desk Bill Hassiepen told MNI Thursday, while
the fiscal situation is a “nightmare.”

While the Fed is seeking to support economic growth through its
quantitative easing, Hassiepen argued that the central bank’s “massive
monetization” is instead causing “sluggish to stagnant economic growth.”

In fact, he expects growth to become stagnant within six months as
a result of the Fed’s policy.

The reason the country does not have a weaker rating, he said, is
that it remains “the only viable reserve currency in the world.”

The Federal Reserve Open market Committee said Thursday it “agreed
today to increase policy accommodation by purchasing additional agency
mortgage-backed securities at a pace of $40 billion per month,” but did
not announce an end date. At the same time, it will continue its
Operation Twist through the end of the year as it is currently
scheduled, while “maintaining its existing policy of reinvesting
principal payments from its holdings of agency debt and agency
mortgage-backed securities in agency mortgage-backed securities.”

The Federal Reserve’s “money printing,” Hassiepen said, has not
“really contributed to the improvement in the general economy” so far.

Instead, all it has done is increase inflation and the cost
structure in the general economy, as will the new round of QE just
announced Thursday.

“We actually think this is going to cause unemployment, not
employment,” he said. the Fed’s policy will reduce household’s
disposable income and raising costs will also “lead companies to lay off
people,” he said.

“Let’s say six months from now, you might see job actions” in some
of the more commodity-sensitive industries that are particularly
vulnerable to an increase in commodity prices and a weak dollar, he
predicted.

“This is going to cause the economy to completely stagnate,” he
said, expecting the effect to start within three or four months.

He first expects a “rapid uptick in gasoline and food prices,”
which will affect households’ disposable income. This in turn will take
several months to work its way through into the general economy.

“People are going to feel nostalgic for the 1.7% for the last
quarter,” he said, referring to the second quarter GDP growth.

“Unfortunately we have a Federal Reserve that simply does not
recognize the inflationary impact of food and energy prices any longer,”
he said.

He expects another “massive uptick in the speculation in the
strategic commodities and energy markets.” Speculators, he said, hedge
themselves against a depreciating dollar by “boosting up the cost of the
commodity.”

“They have been doing it since 2004 and it’s worked,” he said.

While the Fed’s policy is increasing the costs structure in the
economy, he said wages are stagnant. “You don’t have the buying power in
the economy,” he argued, and buying more securities won’t resolve that
issue.

Hassiepen also stressed that “the United States’ financial
flexibility is almost gone given $16 trillion in debt,” which is 104% of
GDP, and there is no real plan to put “the fiscal house under control.”

In fact, even sequestration would not solve the problem of U.S.
deficits, he said.

 

Now that is truly awesome.

We have run the same monetary and tax policies for what, the last 12 years? Deficit spending for the last 12 years? Been fiscally irresponsible for the last 12 years?

Through Democratic and Republican congresses and presidents, and yet one side gets the blame.

Funny stuff right there.

 

I just wonder how the Official Obama Politburo { MSNBC } will respond.
Usually like grade schoolers.They'll explain how Great the Stock Market has
been under Obama.Now Obama can tout the Stock Market as a succees,like Bin Laden,
GM { still owes money borrowed } and God knows what else.maybe Samuel L. Jackson's
newfound popularity.The guy admitted he voted for Obama soley because he's a
fellow black.Weren't we instructed that any white the last 3 years that didn't vote for Obama
was a Racist.Wouldn't that make Jackson a Racist,also.

One of the reasons the stock market is ^UP^ is because it takes more dollars to
buy a stock therefore it's worth more.

 

In one week
Obama's appeasement in the ME blows up in his face resulting in 4 Americans killed including an Ambassador due to intelligence failures,unemployment claims rise to record numbers,QE3 announced,Credit rating downgraded because of QE3 ,and possibly again by Moodys.

Again,why should he get 4 more years?

 

Makes you wonder how bad the other guy must be to be trailing him in the polls, doesn't it?

 

Spin this however you want,Libs.
The truth is Obama's presidency is a epic failure.

 

Under Obama there is a conjoining of both Monetary AND Fiscal Policy.A tinkering.

 

That is just made up nonsense, words thrown onto the monitor. If you can explain the difference between monetary policy and fiscal policy, I am all ears.

 

Now ... now ... Now ... As of early today Rasmussen has Romney UP 48%
to Obamas 45% NATIONWIDE and Romney down by just 1% in Ohio.

 

Okay, thanks for the advice.

 

Monetary Policy uses the controling of Interest rates and the money supply to
influence an American Economy.What Alan Greenspan did so effectively.
We just had QE 3.Now who authorized that.? Yes the Fed who controls M1 or the
money supply by it's Buying up of Treasury Bonds and Printing money.
Fiscal Policy uses The expenditure of Money or Spending and Taxation to
influence an Economy.It also relies on an ability to Distribute Income.
Like the Record breaking use of Unemployment Compensation.Which this year alone
our Government has spent it's entire allotment of.

 

Well this is odd.

I thought your sentence structure looked a little different than, well, it usually does. It seems that some of those very sentences were used in other publications. Certainly you did not just take the works of others and pass them off as your own, right? Certainly you knew the answer to the question and did not have to google it, correct?


Your sentence used as the first sentence of this publication.

http://www.imf.org/external/pubs/ft/fandd/basics/fiscpol.htm

 

It's OK. As a liberal that is part of the plan.

 

The downgrade had no effect on the stock market. Moodys has said that they will downgrade if we go over the fiscal cliff in January, 2013.

The last time that we were downgraded was due to the teatards in Congress refusal to raise the debt ceiling. It had no effect on interest rates.

 

Hooray for Wall Street!

The ratings agencies did not blame the "teatards in Congress" for anything, so you are obviously lying.

That's because interest rates are arbitrarily manipulated by central bankers.