USSAAA - S&P Reconsiders Downgrade After White House Challenge
McGraw-Hill: meet Chicago-style negotiations. And there, in one sentence, is all that is broken with this country. The reason for the beyond ridiculous horse trade, according to CNN: S&P analysis of U.S. revenue, deficit picture was questioned. Presumably S&P ignored to add the $10 quintillion dollars that were saved by America not declaring war on Tatooine and its most infamous Hutt resident: Larry Summers. Indeed, again according to CNN, S&P acknowledged some errors in its analysis. Isn't it amazing what being threatened with having your NRSRO license can do for motivation to double check your work, eh you pathetic sellouts? Who would have thought that last week's farce debt ceiling would continue and develop into a national pastime. Below, for the sake of S&P's non-existent conscience and incompetence, are their own guidelines for what constitutes an AAA-rated credit. Readers can decide if the US is one. In other news, in USSAAA, government downgrade rating agency.
And from CNN:
The Standard & Poor's rating agency served the Obama administration with notice Friday afternoon that it planned to downgrade the U.S. government's AAA credit rating, an administration official told CNN.
But S&P has yet to make its ruling public, and the source told CNN the agency is reconsidering after the administration challenged S&P's analysis of the government's finances.
The source, a senior official involved in the discussions, said the agency was off by "trillions" in its economic model and was now working to revise its analysis.
S&P did not return repeated calls for comment.
The official described the talks as a "moving target" and said "it's clear some people there still want to go forward" and downgrade U.S. debt.
Rumors swirled for most of the day Friday that S&P was preparing to make its move. But even several hours after the market close, official notice had yet to materialize
Rating agencies - S&P, Moody's and Fitch - analyze risk and give debt a "grade" that reflects the borrower's ability to pay the underlying loans.
The safest bets are stamped AAA. That's where U.S. debt has stood for years. Moody's first assigned the United States a AAA rating in 1917.
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Fiat ratings.
Even the bubbles will have bubbles.
Bubbles within bubbles.. trippy.
Great comments `~ (:
Psychodelic
In short S&P agrees to mark to mirage when rating Uncle Sam's credit-worthiness.
bubble party
Fabric softner = H.R. 1489.
Use it Bitches or dinosurus R US
Tatooine is such a peaceful place!
Its 149 light years away, but I hear the slave trade is booming there.
Unlimited Credit and spending Bitchez!
I got a better one
Warren Buffett's Berkshire Hathaway Inc., which is seen as a proxy for the U.S. economy because of the broad reach of its companies, said second-quarter profit rose 74% to $3.42 billion on improved results in its derivatives portfolio.
the one time squid thing came from the taxpayers and the derivatives gains just went down the shitter with the s&p. try to think beyond the headlines.
Whadda ya think. A two pronged threat from IRS and Justice? Keep it AAA or else!
Don't forget to mention this is the most corrupt "Justice" department in the history of the nation.
The MFM won't cover Fast and Furious, but it is getting uglier by the day.
It is almost as if the federal government wanted to make the drug cartels as strong as possible. Why would they want to do that?
They just busted a worldwide ring of kiddie diddlers.
As for the perverts diddling the economy, well they can't seem to find any evidence on them.
/Tin Hat Time/
Could it be that we are in an undeclared war with Mexico? Mexico is considering using silver as currency per Hugo Salinas (sp?), which is contrary to US$ reserve status. Also, Mexican farmers are not happy with GM corn and buying seed from Monsanto. There are probably other issues which are not inline with current US policy.
Um...yeah. Problem with that logic is that "fast & furious" guns were used to kill a US Border Patrol Agent.
The REAL agenda behind "fast & furious" is back-door gun control.
Not to mention the dead Mexicans, including the brother of their Attorney General.
Bingo - I have an answer for that one. (Besides being a false flag operation for tearing up the second amendment and grabbing guns,) The intention was to have the Zetas drug cartel overthrow the Mexican government. This has several interesting consequences.
Got the picture as to why the Feds were arming the Zetas yet ?
That has merit.
OTOH we could send troops south to liberate the mestizos... and their oil.
That has to be one of the dumbest conspiracy theory I have ever read. Thanks for the chuckle Chico
Has to be dumbest conspiracy theory I have ever heard. Thanks for the chuckle Chico
Yep, that was the threat.
The 'guests' from Homeland Security who just moved into the homes of S&P's top officials are a big motivator as well. It's good manners to make your guests happy.
New debt-rating agencies: Craigslist and EBay.
LOL... Next S&P rating?
"A+++++ will do business again!!!"
AAA will be changed to "DoublePlusGood".
Chocolate rations to be increased for all who believe.
Interesting 1984 reference.
And here i thought EBay was helping develop a new multi thread bidding system for congressional votes ;-)
White House challenges analysis? What did Obama say? That it'll hurt his re-election chances(if that is possible)? Or that it'll "cramp his style"
S&P your words are yet again proven to be not worthy of oxygen that is used
Queen Elizabeth 14 here, we are overdue to Southampton with a load of parchment for BOE. We have no passengers, the ship has been converted to freight as to haul greenbacks. Pirates from the EU are approaching, please advise?
boom?
KA-POW!
USSA rating intact.
I like to think of them as a wing of the cia.. it all makes sense that way.
S&P lost any credibility it had many years ago, as did the other rating agency whores.
Street thuggery - the new Amerikan way.
And the wildebeast dances barefoot on the White House lawn.
Aha,
the old 'numbers no good trick'
WH: your numbers are no good
S&P: we know that
WH: well you can't downgrade us with bad numbers
S&P: where do we get these "good" numbers?
WH: we don't know where good numbers come from.
lol
to WH - just pull some numbers out of your ass - Don't make a shit - this m-fucker is going down anyway & taking you obnoxious, pompous assholes with it. You've made sure of that.
Look for them amongst the unicorns where you found today's NFP numbers.
Epic Friday night fun!
I for one saved several million dollars on dinner alone, today. Instead of buying a Bughati Veyron to go pick up pizza and beer, I had it delivered.
Oh yeah? Well I just saved the entire world by deciding not to destroy it with my mind. In lieu of thanks, just send money to my Paypal account.
Hmm, truly sounds like a "Faustian bargain" to me! :>D
I have no words. .......................................................................
Link to CNN article.
http://news.blogs.cnn.com/2011/08/05/sp-tells-white-house-it-will-downgr...
More info on the S&P vs White House battle.
http://blogs.abcnews.com/politicalpunch/2011/08/govt-official-us-expecti...
.
Yes.! ..... we have no bananas!
Nah, just fuck me with a broomstick. The oligarchs have won. Game over.
You might want to keep fighting. The oligarchs prefer to use a 4x4 with a pineapple duct taped to the end.
They won Nothing. Ratings do not change underlying reality. An AAA Ponzi will collapse at about the same time as a downgraded Ponzi. Maybe sooner. By the way, that 2.4 trillion debtbux figure isn't going to get the Pols/banksters thru the next election....they miscalculated, over-estimated revenues. Around about July-August 2012, they'll have to (try to) raise the ceiling again. In a context of an economy in Freefall.
Yeah, strange thing about unemployment, folks with no job don't pay taxes very well! :>(
The funniest thing of all is, S&P can't do a damned thing to stop what's happening. They are as useless as tits on a boar hog.. If AAA means that much in this failing ponzi, then so be it.
The frequency of the crashes is accelerating, i expect that frequency to increase as time goes on.
Why have ratings? They are meaningless.
I hate to toot my own horn here but I'm going to do it anyhow....
TOOT TOOT TOOT TOOT
Boy that felt good, Thank you, that's all for now.
I guess you really can make people an offer they can't refuse.
Extortion 101 is a required course in the School of Chicago Thuggery.
You caught that clip, with The two lovers on stage? Rahm and Wookie ( SR.) had a " KODAK" moment.
Ref: otools 50 TH / Flash/ Crash...
To be honest, who really thought the rating agencies had the balls to even try to downgrade the US government? With all of the market manipulation we talk about here at ZH it's pretty obvious that the WH would threaten to make business for S&P absolute hell if they went ahead and downgraded. We're all slaves.
One reason S&P has the balls to downgrade the U.S. govt is that the U.S. govt did not have the balls to prosecute S&P for its role in the greatest financial crimes in U.S. history.
Now, by downgrading the U.S., the S&P can simultaneously 1) distinguish itself from Moody's as a marketing tactic, and 2) avoid any chance of prosecution for alleged past RICO crimes by claiming that prosecution is retribution for the downgrade.
Credit ratings, FICO, who gives a crap. Don't pay and party today and everyday. The FED will print mo money. Nuttin to it the way we do it.
Stability and legitimacy of politicial institution - hahaha
Popular participation in politcal process - LOL a majority of eligible voters did not vote in 2010
Orderliness of leadership succession - Check - I can see why this would matter to a bootlicking institution like S&P
Transparency in economic policy decisions and objectives - if you call lying transparency
Public security - sure, if security means getting beat up by police thugs and raped by tsa agents
Geopolticial Risk - fighting at least 3 wars, pissing off terrorists all over the place, exporting inflation... nah we're good.
What.
A.
Farce.
hooray! more drama fuel for next week! off to the county fair, old-fashioned fun, demolition derby and funnel cakes - cheers, y'all!
Watch out for the Black flash-mobs, attacking whites and then each other; the one in Wisconsin didn't go too well.
Zig-heil, MFs.
Un-fuckingbelievable!!!
...and the lapdogs on CNBS report this bullshit with a straight face. Too much!
Botox will do that.
Expected.
Narcissists, Sociopaths, Weak-Willed Sycophants all...
The fly in the ointment that, intentionally or otherwise, wreaks havoc on cohesive society.
Does anyone remember John Snow ??? LOL
The sad thing is that IF we got a downgrade, that might be enough to get some of the sheeple to pay attention to what's going on... maaaaybe. Now, of course, that won't happen. And will never happen. As long as Barry is in office, anyways. The sheeple will continue on and in 2012 reward the Teleprompter for it's AAA-credit ratings saved or created.
Well, let's not be hasty. S&P will have alot of powerful folks gunning for it. They may just be taking all comments into consideration and crafting the strongest argument possible before they downgrade. Any cracks in their analysis and you know the gubbermint folks will use the MSM to discredit them
An optimistic view of what is going on I know, but I for one am going to wait and see....
agreed, upon further consideration...this "objection" is probably worse than an outright downgrade...it is the desperate act of a desperate sovereign...what debtor in default would not "object"
Maybe they come out with 'We were going to drop you one notch but because of the attempted extortion we drop you two". I must be asleep, I seem to be dreaming.
Obviously, somebody decided to look at where bond yields were trading and determined that only the highest-rated, gilt-edged Fiatsco Paper can command such paltry interest rates.
3-Month 11/03/2011 0.01% 6-Month 02/02/2012 0.04% 12-Month 07/26/2012 0.11% 2-Year 07/31/2013 0.29% 3-Year 07/15/2014 0.49% 5-Year 07/31/2016 1.25% 7-Year 07/31/2018 1.91% 10-Year 05/15/2021 2.56% 30-Year 05/15/2041 3.85%How much do they charge for massive transfusions of blood these days Robo?
expect all sorts of kommunist headlines and rumors on monday in an effort to lure buyers back and shorts to cover
CNBC Headline - S&P calculations in possible US downgrade were off by Trillions.
A few trillion here, a few trillion there...$100Trillion+ in money to be owed. How far off could they have been? Oh yeah...$1.5T
Rallly On!!!
Butoh Theatre: http://www.youtube.com/watch?v=Lva8L-J8x04&NR=1
BTW, does anyone know who this performance artist is? I think they are from NYC but I can't find them on Google.
.
Bang Dai Ho: Me helped! Obama say officials S&P downgrade. But Bang think he say for officials, S&M and degrade. Me take care of it, work out OK! Barrack so happy!
More like ``do this and your families are gonna have an accident``...
Heh.
"That's a nice company/family you have there. Be a shame if something were to happen to it."
Good(?) news everyone, the downgrade is a done deal!
Where in the HELL is Warren, and his Reading Railroad?
This is fucking huge. I mean people just don't get how huge this is.
When I said six threads ago that Monday was going to be a bloodbath, I didn't even know about this story. But now that I do, it makes me even more convinced that Monday will be bridle deep in blood.
I hope you took advantage of the upswing this morning to recharge your positions.
'off by trillions'
Note to all sane viewers left: trillions is an invention of the 1990's. The IRS will come after you for an error in the realms of 'tens' or 'hundreds'. A 'thousand' is a monthly wage. A few 'hundred' of those might get you noticed as a GOP sponsor, and result in 'millions' of savings to your industry. A 'billion' is the GDP of entire nations of people ('millions' of them).
'Trillions' is basically declaring war on accountants and maths in general.1
Basic math. (This is so not going to parse- ug, it didn't, so robbing a quick visual aid - http://en.wikipedia.org/wiki/Exponentiation)
aN = a x ... x a / n
Arthur Anderseninfinity