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STUNNER: S&P REVISES US OUTLOOK TO NEGATIVE
You read that right: S&P just revised its US outlook to negative. EURUSD surges on what can be seen as revolutionary news...
From S&P:
Overview
We have affirmed our 'AAA/A-1+' sovereign credit rating on the United States of America.
- The economy of the U.S. is flexible and highly diversified, the country's effective monetary policies have supported output growth while containing inflationary pressures, and a consistent global preference for the U.S. dollar over all other currencies gives the country unique external liquidity.
- Because the U.S. has, relative to its 'AAA' peers, what we consider to be very large budget deficits and rising government indebtedness and the path to addressing these is not clear to us, we have revised our outlook on the long-term rating to negative from stable.
- We believe there is a material risk that U.S. policymakers might not reach an agreement on how to address medium- and long-term budgetary challenges by 2013; if an agreement is not reached and meaningful implementation does not begin by then, this would in our view render the U.S. fiscal profile meaningfully weaker than that of peer 'AAA' sovereigns.
Rating Action
On April 18, 2011, Standard & Poor's Ratings Services affirmed its 'AAA' long-term and 'A-1+' short-term sovereign credit ratings on the United States of America and revised its outlook on the long-term rating to negative from stable.
Rationale
Our ratings on the U.S. rest on its high-income, highly diversified, and flexible economy, backed by a strong track record of prudent and credible monetary policy. The ratings also reflect our view of the unique advantages stemming from the dollar's preeminent place among world currencies. Although we believe these strengths currently outweigh what we consider to be the
U.S.'s meaningful economic and fiscal risks and large external debtor position, we now believe that they might not fully offset the credit risks over the next two years at the 'AAA' level.
The U.S. is among the most flexible high-income nations, with both adaptable labor markets and a long track record of openness to capital flows. In addition, its public sector uses a smaller share of national income than those of most 'AAA' rated countries--including its closest peers, the U.K., France, Germany, and Canada (all AAA/Stable/A-1+)--which implies greater
revenue flexibility.
Furthermore, the U.S. dollar is the world's most used currency, which provides the U.S. with unique external flexibility; the vast majority of U.S. trade flows and external liabilities are denominated in its own dollars. Recent depreciation of the currency has not materially affected this position, and we do not expect this to change in the medium term (see "Après Le Déluge, The U.S. Dollar Remains The Key International Currency," March 10, 2010, RatingsDirect).
Despite these exceptional strengths, we note the U.S.'s fiscal profile has deteriorated steadily during the past decade and, in our view, has worsened further as a result of the recent financial crisis and ensuing recession. Moreover, more than two years after the beginning of the recent crisis, U.S. policymakers have still not agreed on a strategy to reverse recent fiscal deterioration or address longer-term fiscal pressures.
In 2003-2008, the U.S.'s general (total) government deficit fluctuated between 2% and 5% of GDP. Already noticeably larger than that of most 'AAA' rated sovereigns, it ballooned to more than 11% in 2009 and has yet to recover.
On April 13, President Barack Obama laid out his Administration's medium-term fiscal consolidation plan, aimed at reducing the cumulative unified federal deficit by US$4 trillion in 12 years or less. A key component of the Administration's strategy is to work with Congressional leaders over the next two months to develop a commonly agreed upon program to reach this target. The President's proposals envision reducing the deficit via both spending cuts and revenue increases, and the adoption of a "debt failsafe" legislative mechanism that would trigger an across-the-board spending reduction if, by 2014, budget projections show that federal debt to GDP has not yet stabilized and is not expected to decline in the second half of the current decade.
The Obama Administration's proposed spending cuts include reducing non-security discretionary spending to levels similar to those proposed by the Fiscal Commission in December 2010, holding growth in base security (excluding war expenditure) spending below inflation, and further cost-control measures related to health care programs. Revenue would be increased via both tax reform and allowing the 2001 and 2003 income and estate tax cuts to expire in 2012 as currently scheduled--though only for high-income households. We note that the President advocated the latter proposal last year before agreeing with Republicans to extend the cuts beyond their previously scheduled 2011 expiration. The compromise agreed upon in December likely provides short-term support for the economic recovery, but we believe it also weakens the U.S.'s fiscal outlook and, in our view, reduces the likelihood that Congress will allow these tax cuts to expire in the near future. We also note that previously enacted legislative mechanisms meant to enforce budgetary discipline on future Congresses have not always succeeded.
Key members in the U.S. House of Representatives have also advocated fiscal tightening of a similar magnitude, US$4.4 trillion, during the coming 10 years, but via different methods. House Budget Committee Chairman Paul Ryan's plan seeks to balance the federal budget by 2040, in part by cutting non-defense spending. The plan also includes significantly reducing the scope
of Medicare and Medicaid, while bringing top individual and corporate tax rates lower than those under the 2001 and 2003 tax cuts.
We view President Obama's and Congressman Ryan's proposals as the starting point of a process aimed at broader engagement, which could result in substantial and lasting U.S. government fiscal consolidation. That said, we see the path to agreement as challenging because the gap between the parties remains wide. We believe there is a significant risk that Congressional negotiations could result in no agreement on a medium-term fiscal strategy until after the fall 2012 Congressional and Presidential elections. If so, the first budget proposal that could include related measures would be Budget 2014 (for the fiscal year beginning Oct. 1, 2013), and we believe a delay beyond that time is possible.
Standard & Poor's takes no position on the mix of spending and revenue measures the Congress and the Administration might conclude are appropriate. But for any plan to be credible, we believe that it would need to secure support from a cross-section of leaders in both political parties.
If U.S. policymakers do agree on a fiscal consolidation strategy, we believe the experience of other countries highlights that implementation could take time. It could also generate significant political controversy, not just within Congress or between Congress and the Administration, but throughout the country. We therefore think that, assuming an agreement between Congress and the President, there is a reasonable chance that it would still take a number of years before the government reaches a fiscal position that stabilizes its debt burden. In addition, even if such measures are eventually put in place, the initiating policymakers or subsequently elected ones could decide to at least partially reverse fiscal consolidation.
In our baseline macroeconomic scenario of near 3% annual real growth, we expect the general government deficit to decline gradually but remain slightly higher than 6% of GDP in 2013. As a result, net general government debt would reach 84% of GDP by 2013. In our macroeconomic forecast's optimistic scenario (assuming near 4% annual real growth), the fiscal deficit would fall to 4.6% of GDP by 2013, but the U.S.'s net general government debt would still rise to almost 80% of GDP by 2013. In our pessimistic scenario (a mild, one-year double-dip recession in 2012), the deficit would be 9.1%, while net debt would surpass 90% by 2013. Even in our optimistic scenario, we believe the U.S.'s fiscal profile would be less robust than those of other 'AAA' rated sovereigns by 2013. (For all of the assumptions underpinning our three forecast scenarios, see "U.S. Risks To The Forecast: Oil We Have to Fear Is…," March 15, 2011, RatingsDirect.
Additional fiscal risks we see for the U.S. include the potential for further extraordinary official assistance to large players in the U.S. financial or other sectors, along with outlays related to various federal credit programs. We estimate that it could cost the U.S. government as much as 3.5% of GDP to appropriately capitalize and relaunch Fannie Mae and Freddie Mac, two financial institutions now under federal control, in addition to the 1% of GDP already invested (see "U.S. Government Cost To Resolve And Relaunch Fannie Mae And Freddie Mac Could Approach $700 Billion," Nov. 4, 2010, RatingsDirect). The potential for losses on federal direct and guaranteed loans (such as student loans) is another material fiscal risk, in our view. Most importantly, we believe the risks from the U.S. financial sector are higher than we considered them to be before 2008, as our downward revisions of our Banking Industry Country Risk Assessment (BICRA) on the U.S. to Group 3 from Group 2 in December 2009 and to Group 2 from Group 1 in December 2008 reflect (see "Banking Industry Country Risk Assessments," March 8, 2011, and "Banking Industry Country Risk Assessment: United States of America," Feb. 1, 2010, both on RatingsDirect). In line with these views, we now estimate the maximum aggregate, up-front fiscal cost to the U.S. government of resolving potential financial sector asset impairment in a stress scenario at 34% of GDP compared with our estimate of 26% in 2007.
Beyond the short- and medium-term fiscal challenges, we view the U.S.'s unfunded entitlement programs (such as Social Security, Medicare, and Medicaid) to be the main source of long-term fiscal pressure. These entitlements already account for almost half of federal spending (an estimated 42% in fiscal-year 2011), and we project that percentage to continue increasing as long as these entitlement programs remain as they currently exist (see "Global Aging 2010: In The U.S., Going Gray Will Cost A Lot More Green," Oct. 25, 2010, RatingsDirect). In addition, the U.S.'s net external debt level (as we narrowly define it), approaching 300% of current account receipts in 2011, demonstrates a high reliance on foreign financing. The U.S.'s external indebtedness by this measure is one of the highest of all the sovereigns we rate.
While thus far U.S. policymakers have been unable to agree on a fiscal consolidation strategy, the U.S.'s closest 'AAA' rated peers have already begun implementing theirs. The U.K., for example, suffered a recession almost twice as severe as that in the U.S. (U.K. GDP declined 4.9% in real terms in 2009, while the U.S.'s dropped 2.6%). In addition, the U.K.'s net general government indebtedness has risen in tandem with that of the U.S. since 2007. In June 2010, the U.K. began to implement a fiscal consolidation plan that we believe credibly sets the country's general government deficit on a medium-term downward path, retreating below 5% of GDP by 2013.
We also expect that by 2013, France's austerity program, which it is already implementing, will reduce that country's deficit, which never rose to the levels of the U.S. or U.K. during the recent recession, to slightly below the U.K. deficit. Germany, which suffered a recession of similar magnitude to that in the U.K. (but has enjoyed a much stronger recovery), enacted a constitutional limit on fiscal deficits in 2009 and we believe its general government deficit was already at 3% of GDP last year and will likely decrease further. Meanwhile, Canada, the only sovereign of the peer group to suffer no major financial institution failures requiring direct government assistance during the crisis, enjoys by far the lowest net general government debt of the five peers (we estimate it at 34% of GDP this year), largely because of an unbroken string of balanced-or-better general government budgetary outturns from 1997 through 2008. Canada's general government deficit never exceeded 4% of GDP during the recent recession, and we believe it will likely return to less than 0.5% of GDP by 2013.
Outlook
The negative outlook on our rating on the U.S. sovereign signals that we believe there is at least a one-in-three likelihood that we could lower our long-term rating on the U.S. within two years. The outlook reflects our view of the increased risk that the political negotiations over when and how to address both the medium- and long-term fiscal challenges will persist until at least after national elections in 2012.
Some compromise that achieves agreement on a comprehensive budgetary consolidation program--containing deficit reduction measures in amounts near those recently proposed, and combined with meaningful steps toward implementation by 2013--is our baseline assumption and could lead us to revise the outlook back to stable. Alternatively, the lack of such an agreement or a significant further fiscal deterioration for any reason could lead us to lower the rating.
Standard & Poor's will hold a global teleconference call and Web cast today--April 18, 2011--at 11:30 a.m. New York time (4:30 p.m. London time). For dial-in and streaming audio details, please go to www.standardandpoors.com/cmlive.
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Are you serious? The worst performing stocks in a bear market will be those whose earnings are dependent on mindless consumerism; those stocks that you shill and probably own...
The oligarchy, worried about a revolt by the populace, races to set the agenda again, only this time forcing the hand by using a discredited rating agency, that has served its purpose well in the past.
Bullish on Vaseline ... everybody bend over, please!
Your brand of collectivist pig (see Avatar) is as culpable as the oligarchy (which of course requires useful idiots like you to wield the sword of governance.
Please go away.
You're always so thoughtful! and so well spoken ...
will you marry me?
Typical response from another short lived HuffPo troll.
Note the pig's head is severed from its body, hence my nasty tone.
get a room
You kids! WTF?
US markets are experiencing "recriticality". But
rest assured people, our firemen are on the way.
Barama schedules emergency golf outing with a beer summit at the 19th hole.
right after an early morning turkey hunt with the Koch brothers
Well I wondered who would be the bearer of bad news. They had a ratings agency deliver it for them.
How seriously should we take a report which mentions unfunded liabilities and Fannie/Freddie more than anything else? Where's the criticism of quantitative easing, unregulated derivatives, speculation and commodities manipulation, and outright fraud that put us in this position?
Let's blame the politicians for their supposed "inability" to reach a deal and ignore the fact they are doing the bidding of the very same people who caused the mess. And let's not forget the last move in the starve the beast chess game is to kill the beast.
It's too easy to spend without collecting enough tax to cover it. And the people in charge love to lend the money to cover the difference. The people will wake up some day to realize they have no social security or medicare because all of their taxes are required to pay for war and interest expense. And they had nothing to do with it other than being born into the system.
Standard and Poors is the system. They will rate pure garbage AAA if the banks pay them to. So someone please try to convince me they're not part of a scripted effort to strip benefits from Americans while at the same time helping to cause a little shock that will lead to QE3.
+1
I know that i said this already, but ... what the heck, here it is again:
The oligarchy, worried about a revolt by the populace, races to set the agenda again, only this time forcing the hand by using a discredited rating agency, that has served its purpose well in the past.
Bullish on Vaseline ... everybody bend over, please
So someone please try to convince me they're not part of a scripted effort to strip benefits from Americans while at the same time helping to cause a little shock that will lead to QE3.
Totally plausible, Mr B -- fits the "austerity" pattern. I wouldn't feel good about owning any Fannie and Freddie paper--although they've absurdly tried to keep it ambiguous for years, it is NOT full faith and credit. That makes it "subordinate" paper--first to go.
I thought this might have been a US typo on CNN for PIIGS,
but then I saw the deer in the headlights
and I knew this was for real - so funny -
S+P has balls, I wonder if Moody and Fitch are going to follow suit ?
lol, this is like a comedy show,
never a boring moment...
*yawn* Wait, did I miss something?
Paul Krugman just called me and told me that the solution to debt is to print an equivalent amount of money and pay the debt off.
Also -
It was 'PIIGS'
Next came 'PIIGS+UK'
Today it is PIIGS+UK+US'
Tomorrow it will be PIIGS+UK+US+AllofEuropeWhileWe'reAtItPlusMENA'
We need a catchy new acronym.
US+UK= U-SUK
"Paul Krugman just called me and told me that the solution to debt is to print an equivalent amount of money and pay the debt off."
LOL - Man you can't do that to me......I'm literally crying with laughter here.
Did you see Obamanana's "Official White House Dumbconomist" Austan Goolsbee being wheeled out today on Bloomberg saying that it is now almost certain that the US Federal Debt ceiling is going to be raised from $14 Trillion to $20 Trillion??!!
What the fuck? Those incompetent crooks Berbanke, Timmy G et al. couldn't run a bath nevermind the world's biggest economy!
I still don't understand those bond investors - I mean, would you be happy to lend the US Government say even $1m and believe that they'll pay you back in full in 10 years time while paying you a measly interest rate of just 3.45% - Errrr I don't think so! Trouble is, I'm wary of shorting the US 10yr because of the bloody Plunge Protection Team and Ponzi operators at the Fed.
in case anyone noticed, their economic outlook is aimed at improving the fascist business model (would S&P have gone on this long about a political solution two decades ago.) and in the war between the fascist (economists) and the socialist (economists), perhaps its only natural that Wall Street would prefer to see the fascist win. (the fascists seldom stop at just the economy.)
although GM and the Central Bankers did pretty well with TBTF. (risk on, liability off) makes you wonder why the slogan "bail out, bail out bail out," the Pearl Harbor of all attacks on our (taxpayer funded) economy, has been changed to deficit reduction, or we'll downgrade your worthless bonds, now that mr taxpayer is tapped out. the blood is officially out of the stone.
must be time to reduce medicare and corporate taxes. it's not that these guys are shills, that's not the point, it's who are they shilling for? keeping GROWTH in base security (which includes wars all over the world) within the inflation rate, (suddenly Bernanke deiscovers a lost love for inflation targets. how much does the MIC need, I can raise CPI in 15 minutes) but cut services. okay S&P, thank you for the editorial, now go back to sleep.
the first pol who talks claw backs on the give aways and accepts the failure of C and JPM et al..and a return to main st of these funds ..will be elected and will be the leader we need..if he lives.
anyone can say the word change, but few can deliver
LOL!
Look what Bob Piss-on-Me had to say about the downgrade:
Dollar weaker, gold jumps, stock drop as S&P revises outlook on U.S. debt outlook to negative from stable. While S&P affirmed the AAA rating.
"Although we believe these strengths currently outweigh what we consider to be the U.S.'s meaningful economic and fiscal risks and large external debtor position, we now believe that they might not fully offset the credit risks over the next two years at the 'AAA' level," said Standard & Poor's credit analyst Nikola G. Swann.
Am I the only one that thinks is potentially good long term news? The initial response on the floor was, "This can't be good," but why not? Isn't a threat of a real ratings downgrade a good thing in this environment? That it is now more likely this will light a fire under policy makers and ensure that something gets done on reducing the deficit?
Yes, Bob, you are the only one that thinks this is "potentially" good long term news--whatever the fuck that means bub.
bullish for the oligarchy!
dollar is surging. i dont get it haha. owell
S&P is trying to make the case for B'O's tax increases. It's all part of the spin to increase the debt ceiling and raise taxes... and it may the Bernanke's way to head fake so the International community won't get cold feet holding our debt.
If you're in the top 1%, you have nothing to worry abou!
Useful (to the Administration) idiots like Liesman, Stiglitz and Kruggers all sing the praises of unlimited money printing to avoid default. A default by any other name will still smell like a skunk.
first pol who points out that the return of capital from claw backs by it's very nature will lower the debt gets my vote if he lives
lowering the debt is not all about spending cuts and taxes
it is about taking back stolen funds liquidating the wall street cartels and putting people in jail
love you!
+1
Go away you fucking sycophant.
CNBS unanswered...
Kudlow: with this bad news how come bonds haven't been affected?
Santelli: hey Larry, who do you think owns most of the bonds?
>break to commercial
+Santelli
Sinclair getting gut punched today.
Wonder what "excuse" he is going to have for the dollar rally today.
Probably excoriating everyone once again for "throwing away" their insurance....
LOL...
Meanwhile, retail stocks are once again the "safe haven".
Mining shares will got up when the banksters finishing accumulating.
robottrader getting monkey hammered today. wonder what lame excuse he'll say to himself as his all long portfolio takes yet another drop. he's eating on $10 per day, with no job - his words.
meanwhile robottrader is exhibit A of the human species projecting his woe on other folks, hoping their life is as miserable as his.
of course, on another thread, he was joyously posting drivel on the drop in silver, all 1% of it. of course i called him out on it. but silver is now back up.
i do not exaggerate when i say the man is the worst trader in the usa.
I have no idea why he has chart posting priv's here, unless maybe hes Tylers down n out brother in law and felt sorry for him.
comrade chart-tard.
in soviet russia, chart posts YOU!
Friday night Eliot Spitzer and Matt Taibi appeared on Anderson Cooper's show urging the US Attorney General to support Senator Levin's investigation and go after Goldman. Monday morning....blowback from the bankers.
Can't Obama initiate an air strike followed by an invasion of S&P offices to restore democracy and install new economists to report the true state of the government finances????,oh wait.........
This is nothing a good aspirin factory bombing won't fix. Relax.
Buy Bullets, Guns and food bitchezz.
+7.62
x39
Time for the CIA to "install" new leadership at S&P.
duplicate
So, lets see. S&P cuts the debt rating so lets buy the dollar and the debt of the US. Something here just doesn't add up.
So let me get this straight, market shakes off:
But is now supposed to tank because S&P downgrades outlook on US paper to "negative" ???
I don't think so. I think I've seen this movie before.
Be very, very careful shorting anything here. Wait for follow through.
There needed to be a downgrade in order to have an upgrade just in time for Obama to be reelected as the official assclown of the Federal Reserves of America.
you guys are fixated!
Video from today (4/18/11) on CNBC: http://www.businessinsider.com/marc-faber-the-dollars-value-in-the-futur...
Blah blah blah-- all a poor theatric to get the peasantry, slaves, and middle class mass ready for the extreme austerity to come or else their 401k gets it.
Thats because of the pesky "Green Shoots" The Bernank keeps talking about.
Did PIMCO have some inside knowledge?
From CNBC:
Respect the technicals: Last week JPM said S&P support at 1296 ... see everything as planned....
Exactly. This is way, way too convenient. If that support holds and there is no follow through tomorrow, play the gap to close.
+10
COMEX just announced physical gold can only be picked up at their new facility that was just open in Fukushima Prefecture, Japan.
Thank you.
inflation protection and power generation...
I'm in!
When they say moving the outlook to negative is wrong and 'politically motivated' they are basically saying it's racist. The nerve of these racists in the face of all this Prez has done for the country. Next up he's helping rename Easter Eggs to Spring Spheres:
http://www.torontosun.com/news/weird/2011/04/14/17994356.html
His master Soros will be proud.
they're not saying it ... you are
they did not say politically motivated, they said that it was based on political analysis, quite different!
Read into it what you want or not "I think what the S&P is doing is making a political judgment and it is one that we don't agree with," Goolsbee said on CNBC.
Judging by your anti-Koch comment elsewhere in the comments..you've somehow made it over here from Huffpo. Therefore Big O can do no wrong for you.
Other famous headlines:
April 1912: "White Star Line downgrades Titanic outlook from 'unsinkable' to 'need more lifeboats' after possible encounter with iceberg. Officials will interview Captain Smith as soon as she docks in New York."
Sept. 1939: "British War Department changes outlook on Polish army from 'invincible' to 'maybe not so hot' after Germany walks over them in three weeks."
Summer 1925: "Communism outlook downgraded from 'super-fantastic' to 'hmmm' after twenty million Russians killed in state-orchestrated famine."
August 1945: "Following the instantaneous atomization of Hiroshima and Nagasaki, Japanese government changes outlook on war policy with United States from 'inevitable victory' to 'oops.' Spokesman resigns, accepts post at TEPCO."
LOL .. I Laughed So Hard I Peed My Pants
It's all drama, of course, the debt ceiling will be raised....dems and repugnicans will argue for a few before passing something the Bankers tell them to...and then they all head over to Joe's for a whiskey and slap themselves on the backs..."What a good job we did for The People."
its funny how all the budget battles are fronted by the MSM forming a debate on the future of this nation
.
cuz as it is greed energy and rent seeking special interests are just going to make everything worse than it already is... its pretty much how we got here right, unrealistic bureaucratic policy funded and sold 24/7 by the corporate MSM
.
its like the MSM coverage of the libya war is all US bombs US CIA US small arms... like its natural for us to decide the fate of Libya as people are getting crushed... all the while 2000 miles away is another war we 'could' win oposed to being like... W T F how did we do that
Wow ... check this out ... from S&P (conference call) nonetheless:
situation deteriorated [...]especially following last year's tax cut decision
Holy sh!t ... communist takeover ...
Maybe people are waking up... could there be hope?
This is long overdue. But lets face it, a negative outlook is a wimpy move. A cut to AA+ would have shown some backbone. The US Government will default outright or default through inflation. It looked like it was going to be inflation there for a while. Now it looks like a more balanced trade.
The folks in congress and the administration have been handed a gift and they don't know it. This is a shot over the bow and they have time to act. If they can get the government's financial house in order we will muddle through a Japan style lost decade. Pain yes indeed. Alternatively, the government will be forced to pay 10+% interest rates if the world thinks default is really possible. If rates go up, it will be too late. 10% on $15+ trillion will be 1.5+ times the income tax collection... checkmate. They now have political cover for spending cuts. The big spenders will say, "We did not want to do it, the markets made us do it. Hey, I am the victim here, be nice." I am sure the spenders will have a fit and bad mouth S&P too. Where is moody's?
http://www.TheAngryGrapes.Com
S+P
found dead in hot tub...
down graded to
negative life....
Was the Manchurian Candidate fact or fiction - an early warning??
What we have here is a failure to communicate. It just gets better folks! Wait until bread is $6.00 a loaf....Oh Crap, it already is in some stores. Oh well, not to worry, American Idol is on tonight. I just can't wait !!! By the way, when does football season start again? I was on the Appalachian this weekend to get away from some of this, and told a 50ish gentleman about the concerns of Fukishima. His reply utterly blew me speechless. He said they found a calcium substitute in the cows after the 50's, 60's experimental a-bomb explosions, and it was a beneficial result of radiation releases!!! I digress. Global currency right around the corner.
Yep, DXY UP and Treasuries UP....At the desk: emm, S&P said something, reduce risk and buy treasuries.
-I just don't get it!!!!!
An interesting gambit by the banking elites instructing S&P to downgrade U.S. credit rating but for what reasons?: my top 5 are:
1. don't regulate us and don't prosecute us for fraud
2. stop mass exit to gold
3. raise the debt ceiling
4. raise interest rates
5. collect more taxes from the middle class
why else would S&P come out with this meaningless bs at least 4 yrs late to the party.
here comes 'shared sacrifice':
90% shares the pain, 10% share the gain.
everything as usual....
'COPPER has ignored the recent equity bounce. Daily and weekly are not bullish' ~ March 31, 2011.
'When the sell off does occur, it won’t be pretty. As mentioned earlier, this market behaviour is similar to 2007 / 2008' ~ April 6, 2011.
'DOW/S&P500 is tracking sideways once again suggesting that short covering rally has lost momentum' ~ April 7, 2011.
http://stockmarket618.wordpress.com
Why is there no mention anywhere in the MSM about GoldmanSux defaulting on their $3.3 billion lease in Tokyo last Friday?
the economy has these incredible structural problems and we are "flexible and diversified"?? And its true the political class hasn't addressed the structural problems, so now we move the shell around, oh look the deficit is the problem. "flexible and diversified" sounds like the mortgage vetting process.
+1