http://www.cnbc.com/id/49037337
Ratings firm Egan-Jones cut its credit rating on the U.S. government to "AA-" from "AA," citing its opinion that quantitative easing from the Federal Reserve would hurt the U.S. economy and the country's credit quality.
In its downgrade, the firm said that issuing more currency and depressing interest rates through purchasing mortgage-backed securities does little to raise the U.S.'s real gross domestic product, but reduces the value of the dollar.
In turn, this increases the cost of commodities, the firm said.
In April, Egan-Jones cuts the U.S. credit rating to "AA" from "AA+" with a negative watch, citing a lack of progress in cutting the mounting federal debt.
The fed is effectively Re-inflating a housing bubble. I can't believe that vote was 11-1. These are supposed to be smart economists, but they have all been politicized, its very unfortunate, sad even.
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there was an article in FT a couple days ago that Moody's was putting the U.S. Gvmt on notice that they will be considering a downgrade at the end of the year if the budget doesen't have serious deficit reduction by EoY
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I'm just hoping that the majority of avg americans who thinks Obama is there to save the world based on an ad they saw get too hammerred the night before to show up to vote so that Romney has a chance of winning. But definitely agree with you on the zero %, even with R-Money and Paul Ryan at the helm.
Obama's America
US close to losing credit rating??? (Originally Posted: 03/15/2010)
http://www.bloomberg.com/apps/news?pid=20601010&sid=a8c_1vtVGzD8
What are the Short- and Long-Term implications of the United States losing its AAA credit rating?
The US is actually nowhere close to losing its AAA rating in the short-term, but hopefully the warnings from all these rating agencies light a fire under the government's ass, so credible changes are made in the medium-long term that prevent this from happening.
that depends on your definition of short-term. the baseline analysis run by moody's assumes that the US would keep its Aaa rating for the next three years.
unless spending is reduced (unlikely), entitlements are drastically reformed (unlikely), or there's some technological breakthrough that initiates a boom in the economy (who knows), i wouldn't be surprised to see the US downgraded to Aa1 by 2014. by some accounts, we're ~55 trillion in debt.
Giving warnings is one thing but I bet its going to be a traveling line and be hard to actually downgrade when (if) the time comes. This is the fucking US Gov we're talking about!
What? 55 trillion? Where the heck does that number come from?
I guess from here : http://www.usdebtclock.org/
$55 trillion includes unfunded liabilities (medicare, social security, etc.).
Hedge Fund/Investor Makes $10B On U.S. Credit Rating Downgrade (Originally Posted: 08/08/2011)
http://www.dailymail.co.uk/news/article-2023809/Did-George-Soros-win-10…
In 1992, George Soros broke the Bank of England. Some are beginning to speculate that he was involved in the $1B bet against the United States. What do you think?
I remember hearing he was 75% in cash a couple of weeks ago, so it is definitely possible if it was only a $1B bet. I would doubt it though, simply on the grounds of the shakiness of the downgrade. My impression was that he was getting more timid as he aged, so I'm gonna guess not. It'd be a hell of a thing if he did though.
Id be interested to find out how much control his sons have in the family business, if anyone would like to elaborate on that.
A 10:1 bet in the futures market that depends on rising rates after a downgrade? That is some great reporting there. Sounds like someone's still sore from Black Wednesday.
When Soros is involved, then call it an inside job, he´s famous for his ties to the Treasury and the State Department, just a pal of Obama.
Wow. Somebody give that man a Pulitzer lol. That aside, it pretty hard to say who did it OP, I doubt it was him though.
Seabird, I'm not 100% on this but I think his sons are pm's there.
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