U.S. loses AAA credit rating from S&P

reply to post by shtf2012


Yeah. I spend some time in the Planet though. Here is a informative Q/A set for those spending full time in the Planet.

Q: Has S&P messed around before?
A: Yes.
Q: Are there more rating agencies watching the US deficit situation closely?
A: Yes.All of them.
Q: Examples?
A: Moody's and Fitch.
Q: Why only S&P downgraded so far?
A: Probably trying to get its reputation back after the housing credit scandal.
Q: Did S&P send a warning before the downgrading?
A: Yes. Some months ago. "S&P said there is a 33 percent chance it would lower the country's credit rating from AAA in the next two years if Washington fails to pare the country's debts."
Q : What happens when ANY country gets in trouble budget wise?
A: The rating agencies downgrade the country after sending some warning.

"If the US Government was a family, they would be making $58,000 a year, they spend $75,000 a year, & are $327,000 in credit card debt. They are currently proposing BIG spending cuts to reduce their spending to $72,000 a year. These are the actual proportions of the federal budget & debt, reduced to a level that we can understand." - Dave Ramsey

It's madness! U.S. political Madness! ::runs around screaming and waving arms in the air::

Only God can save us NOW!!! :que Rick Perry speech::

Apparently future U.S. President Rick Perry thinks so too;

So in all due honesty from all of you. Do you think we are looking at a great depression? Or is it just more fear monger? I'm all set with my 15 cases of Alpo dog food.

Originally posted by SelfSustainedLoner
So in all due honesty from all of you. Do you think we are looking at a great depression? Or is it just more fear monger? I'm all set with my 15 cases of Alpo dog food.

edit on 6-8-2011 by SelfSustainedLoner because: (no reason given)

I don't think a depression is imminent. At all. Possibly a return to recession. I do think that serious economic downturns are inevitable in the future unless we reduce our debt. The real issue (in my opinion) isn't the credit downgrade, but rather the psychological effect that can have, but much more crucially, the larger issue of national debt.

Look at this: www.bearishnews.com...

Debt is a greater % of our GDP now than it was before the crash and depression. Now, granted, there are instruments and policies in effect now that weren't then, designed and intended to prevent another depression. But then, the entire point of the Federal Reserve was to prevent another panic like the one in 1907, and we still ended up in a depression.

So while I seriously doubt we need to start getting the soup lines and CC camps ready yet, this isn't a sustainable situation in the longer term in my opinion. As it is, interest rates will rise. (It's already questionable as to how they'll be able to pay people's bonds when I'm my father's age decades from now. Higher interest rates will make that even harder.) And if Moody's and others downgrade us as well, large funds may completely flee from Treasuries.

So right now it's not good, but it could be much, much worse. Unfortunately, there are signs we may get to that point faster than anyone's ready for. So as always, my advice is to not panic. But be prepared. And if you can’t prepare financially (I can’t,) then at least prepare yourself materially to the extent you can (food, water, alternative shelter, etc. Always sound advice regardless of things like this. Always have an emergency plan,) and mentally and emotionally. Just in case.

Apart from that, try not to worry or panic. We still have time to right the ship in my opinion.

Just my two cents. Peace.

reply to post by burdman30ott6


You know, you hear about all this "somethings gonna happen' stuff and for the most part it's entertaining and you brush it off because you think folks are just paranoid. And then shet like this happens and you're like, okay lemme try to remember what the kooks were saying about this that and the other.

I wont be quick to call folks kooks after this that's for sure.

Originally posted by SelfSustainedLoner
So in all due honesty from all of you. Do you think we are looking at a great depression? Or is it just more fear monger? I'm all set with my 15 cases of Alpo dog food.

edit on 6-8-2011 by SelfSustainedLoner because: (no reason given)

It's inevitable, they only postponed it until after the 2012 elections.

Within the next 10-15 years retiring baby boomers will take and average of 40k each yearly, to the tune of 3 trillion a year more than they send out today.

They were warned, yet they still raided the SS fund to pay for otgher social programs, now it's all gone and they need to pay even more.

It's basically the government spent all our money. Too many programs to support, too much money going out vs the amount of money coming in.

It's sad, very sad.

It's also weird to watch it all fall apart.

Sigh!

reply to post by shaq76


OK. What we do know is that the US economy is in trouble and has been longer than Obama has been presdent.

None of the ratings are a precise science. It remains to be seen on Monday how the market takes all of this. Whichever way the market goes on monday the USA is still in trouble. Drastic and radical solutions are needed.

Thinking outside of the box will help. This could be Obamas towering glory or his worst ever failure. However the lobbyists will earn their pay.

Originally posted by SelfSustainedLoner
So in all due honesty from all of you. Do you think we are looking at a great depression? Or is it just more fear monger? I'm all set with my 15 cases of Alpo dog food.

edit on 6-8-2011 by SelfSustainedLoner because: (no reason given)

Filet Mignon?

Okay, this is completely devastating. I am so tired of this depressing economy! I feel like it's been sucking the life out of me.

I might just move to Canada. Seriously.

reply to post by misszrnia


For real right ? It's like for the past few elections me and my friends would always say that if our guy didn't win we were moving to Canada and now I'm like........hmmmm. Can I really move to Canada ?

reply to post by skepticconwatcher


Yes you can but since the $ is failing you better hurry before the Loonie gains to much in the market over the $ cause then you wouldn't be able to afford it.

But if our credit rating keeps taking a nose dive we will placed like a third world country and you can claim rape to get a Canadian citizenship.

(I better explain the rape bit before I get flamed or warned. He can claim political rape by the US Gov't cause we are getting bent over and totally reamed)

reply to post by burdman30ott6
This from one of the same agencies that slapped AAA ratings on all those wonderful derrivatives that brought down the markets three years ago. Kind of makes you wonder. Obamma should have dug in his heels after all. Could've saved your social safety net in the long run. Now the U.S. gets to face a depression with only the bennevolence of the rich to help the disenfranchised.
P.S. this was yesterday's news.

Aren't we already in a modern day great depression? Considering the government is covering most of the tab and keeping people going.

I am lucky enough to have a job, but with as slow as work has been this month its deeply concerning. Everyone almost everywhere are hurting, except the rich and those that are already poor (and benefiting from entitlements).

Today, I've been tuning into the various MSM coverage of this news, the downgrading of our Nation's credit rating. One thing I'm NOT seeing across the board is, Our Commander and Chief making any appearances, in any media to help "we the people" get our heads wrapped around what is going to happen on Monday when the U.S. Money Markets open.

I do know we'll get a heads up of sorts, when the Asian markets come into play Sunday evening...but still....

Where the hell is OUR supposed leader in all this mess. Other than I suppose having his massive team of legal beagles, trying to find a loop-hole for him to crawl through. So many of the talking heads are asking...where is our Pres...huh?

All his retreating to a hidey-hole does, is make the overall emotional climate, even more unstable. I'm so sick of this COWARD we call our president.....

Originally posted by Destinyone
Today, I've been tuning into the various MSM coverage of this news, the downgrading of our Nation's credit rating. One thing I'm NOT seeing across the board is, Our Commander and Chief making any appearances, in any media to help "we the people" get our heads wrapped around what is going to happen on Monday when the U.S. Money Markets open.

I do know we'll get a heads up of sorts, when the Asian markets come into play Sunday evening...but still....

Where the hell is OUR supposed leader in all this mess. Other than I suppose having his massive team of legal beagles, trying to find a loop-hole for him to crawl through. So many of the talking heads are asking...where is our Pres...huh?

All his retreating to a hidey-hole does, is make the overall emotional climate, even more unstable. I'm so sick of this COWARD we call our president.....

He's too busy golfing and having BBQ's.

What bothers me is that the helthcare law is still active, you just wait to see what that costs in full effect. Big Phrama helped write that bad boy, they're going to get paid.

Originally posted by misszrnia
Okay, this is completely devastating. I am so tired of this depressing economy! I feel like it's been sucking the life out of me.

I might just move to Canada. Seriously.

Originally posted by skepticconwatcher
reply to post by misszrnia

 

For real right ? It's like for the past few elections me and my friends would always say that if our guy didn't win we were moving to Canada and now I'm like........hmmmm. Can I really move to Canada ?

See ya! Don't need ya! These colors don't run!

[atsimg]http://files.abovetopsecret.com/images/member/8111c8c103cd.jpg[/atsimg]

reply to post by AstroBuzz


Amen AstroBuzz

You know what has become so apparent these past few months? That every single member of our Armed Forces...right down to the fresh kid in boot camp. Each and everyone of them, has more courage in their little finger, than our Commander and Chief has, in his whole body.

Since he's laying low this weekend....maybe he'll grow some teabags, and tweet us a message of encouragement....

Des

What will be his version of a fireside chat if he did have the ability to think his way out a paper bag?

A block party lecture?