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S&P Threatens US With Another Downgrade In As Little As 6 Months

Tyler Durden's picture




 

Will A be the new AA+? Perhaps, if the S&P follows through with its latest threat. Bloomberg reports that, "the U.S., lacking a plan to contain $1 trillion deficits, faces the prospect of another rating cut in six to 24 months depending on the outcome of November elections, according to John Chambers of Standard & Poor’s. America has had an AA+ rating with a negative outlook since Aug. 5 when the New York-based unit of McGraw-Hill Cos. stripped the nation of its AAA ranking for the first time, citing the government’s failure to agree on a path to reduce deficits. The U.S. has a one-in-three chance of another downgrade, Chamber said today during an S&P sponsored Webcast. “What the U.S. needs is not so much a short-term fiscal tightening, but it has to have a credible medium-term fiscal plan,” said Chambers, managing director of sovereign ratings." Too bad the US doesn't even have a fiscal plan what it will do tomorrow, let alone in the "medium-term" courtesy of the most deadlocked political system ever. As for "credible" - forget it. And as was shown, if the first US downgrade from August 5, 2011 broke the US stock market, we can't wait to find out how the Citadel-controlled, FRBNY-blessed stock market will deal with this particular event. In other news, we are still waiting to hear from Moody's on both the US and France.

More from Bloomberg:

“That is going to have to say something about entitlements, and that is probably going to have to say something about revenues.”

 

Bond investors ignored the downgrade, driving Treasury yields to the lowest levels in history, amid concern the U.S. economy was stalling and as Europe’s debt crisis intensified.

 

Treasuries have returned 3.9 percent since the rating cut and gained 9.8 percent last year, the debt’s best performance since 2008, according to Bank of  America Merrill Lynch index data.

 

“I don’t think anything is going to happen between now and the election in November,” Chambers said.

 

S&P said in August that political brinkmanship over increasing the government’s debt ceiling year showed the U.S. is becoming “less stable, less effective and less predictable” as the Treasury almost reached its borrowing limit before the government reached a compromise.

 

The “political brinkmanship hasn’t gone away,” Chambers said today. “That simply doesn’t happen in other AAA economies.”

Well as long as it happens in AA+ economies as is well.

 

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Wed, 02/08/2012 - 13:45 | 2138451 GeneMarchbanks
GeneMarchbanks's picture

A nice August downgrade should have us all saying President Santorum, no?

Wed, 02/08/2012 - 13:48 | 2138464 Future Tense
Future Tense's picture

Fortunately we heard great news from Sam Zell this morning on both the residential and commercial real estate markets where he said everything looks.......terrible.  That should help get our tax receipts soaring.  Video here:

http://www.ftense.com/2012/02/sam-zell-discussing-real-estate.html

Wed, 02/08/2012 - 13:56 | 2138487 nope-1004
nope-1004's picture

Stock market is controlled by PPT via HFT.  Total fraud.

PM's are being attacked and manipulated daily because the gold and silver ETF's don't have any physical metal.  I am convinced all the data coming out of the CRIMEX about # of contracts standing, etc... is also a 100% fabrication.

100% ponzi.  This system is a joke.  Someone with half a conscience involved in the sinful manipulations needs to speak up and come clean.  I've never seen a more broken system held up on life support in my life.

All gov't and bankster data is a total farce.

 

Wed, 02/08/2012 - 14:33 | 2138651 WonderDawg
WonderDawg's picture

No one alive or dead has ever seen a farce of this magnitude. Total fraud is correct. Epic fraud, even.

Wed, 02/08/2012 - 13:54 | 2138490 Mr Lennon Hendrix
Mr Lennon Hendrix's picture

And to add to the safety of finance, da fed just sold Maiden Lane to Goldman. 

Wed, 02/08/2012 - 15:42 | 2138870 MachoMan
MachoMan's picture

This is the whole plan...  kill off unentrenched entities>feed them to uncle sugar/FED>regurgitate the nutrients to the club of entities for pennies on the dollar>gravity ends up killing off the entities>who sell to their principal actors/execs for pennies on the dollar...  thus solidifying the caste system and reinforcing the glass ceiling.

And, if it's not the plan, then it's what's happening...

Thu, 02/09/2012 - 02:32 | 2140854 StychoKiller
StychoKiller's picture

You're a clever lad.  The purpose of a System is what it does.  Now, ask yourself, "What is the System doing?"  Please send your conclusion(s) to the email address found on http://www.frontiernet.net/~jimbot/.index.htm

Wed, 02/08/2012 - 21:33 | 2140137 oldman
oldman's picture

Lennon
Da fed is the same as the da gubbiment, effectively.
They had to choose between the sale to Goldman or cutting military entitlements by a like amount. Wouldn't you rather have poor Goldman get a small payday than to cut military entitlements??
Think, man, think!!! we are going up against SYRIA!!!

Thanks for your sense of humor om

Wed, 02/08/2012 - 14:07 | 2138542 TruthInSunshine
TruthInSunshine's picture

Sam Zell on commercial/office property, Howard Davidowitz on retail propety, Robert Schiller on residential properties:

These guys know their shit. Of all the prognosticators out there, none that I know of have been more consistently accurate.

Zell sold at the ultimate top Blackstone at the EXACT bubble PEAK. He's a freaking Jedi Knight:

Sam Zell exited the office property market in February 2007, selling Equity Office Properties Trust and its more than 500 buildings to Blackstone Group for $39 billion in debt and equity, the largest leveraged buyout at the time. It was the peak of the market.

http://www.rcanalytics.com/article/453/Zuckerman-Loss-of--165-Million-Ma...

 

People get ready, there's a pain train comin'

You don't need no ticket, it's gonna' ride up your ass

 

 

If I was S&P, given that actual U.S. national debt is at least 61 trillion USD (or 61 trillion Federal Reserve Notes, to be accurate), I would seriously consider rating the U.S. at a CCC [Extremely speculative]. Fitch's designation for this is a Caa2 or Caa3.

Given that we're adding to that 61 trillion 43% of each dollar taken in on an ongoing basis, that's good. /s

Wed, 02/08/2012 - 14:53 | 2138721 chunga
chunga's picture

Nice.

Zell failed to mention MBS fraud and seemed to suggest he is in favor of debtor's prison.

Wed, 02/08/2012 - 16:47 | 2139155 TruthInSunshine
TruthInSunshine's picture

Yep, he's a dick, but he knows his office/commercial real estate.

Wed, 02/08/2012 - 15:15 | 2138791 Uber Vandal
Uber Vandal's picture

Perhaps the fact that the Baltic Dry Index is now off its Feb. 3, 2012 low of 647 should equate to a May 3, or thereabouts, "correction" of the S&P to under 650.

If this follows the Dec. 5, 2008 BDI crash to 660 ish, follwed by a March 5, 2009 S&P "correction" to 660ish, that is.

 

 

Wed, 02/08/2012 - 18:20 | 2139488 Ripped Chunk
Ripped Chunk's picture

S & P, now that's a name you can trust for accurate forecasting. This constant threat of downgrade could not have anything to do with 2012 being a Presidential election year at all?......?

Wed, 02/08/2012 - 13:51 | 2138475 CPL
CPL's picture

Why would you think there would be an election?

Wed, 02/08/2012 - 13:52 | 2138479 surf0766
surf0766's picture

I have thought for some time the 2012 election would be postponed.

 

Wed, 02/08/2012 - 14:04 | 2138531 resurger
resurger's picture

lol

Wed, 02/08/2012 - 14:06 | 2138548 GeneMarchbanks
GeneMarchbanks's picture

Election or no election, you will get a steady serving of the same. No election might be a bit of a hint that not all is well so there'll be an election.

Wed, 02/08/2012 - 14:41 | 2138679 pods
pods's picture

Bingo.  The last thing they would do is to scare the sheep.  If things get bad, we will get a new president, new hope, new change.

The last thing the people who own this place would do is to tell the people they live under tyranny.

Just like you will NEVER see tanks in the streets to know that fascism has arrived here (as it already has).

pods

Wed, 02/08/2012 - 14:12 | 2138569 sabra1
sabra1's picture

my avatar will promise you, this, that, and the other thing!

Wed, 02/08/2012 - 18:08 | 2139447 DosZap
DosZap's picture

CPL,

My thoughts for ever since it was voted in, in '08.

Then again, IF there is NOT one, look for the Masses to reach Defcon 1.

Nothing short of a NUKE/Massive Bio Hit would stop this one.( too many want him G_O_N_E.)

Wed, 02/08/2012 - 13:54 | 2138486 theMAXILOPEZpsycho
theMAXILOPEZpsycho's picture

I hope you zero hedgers are happy. This all comes from lack of proper legislation from the government to get a grip on the economy. Legislation such as SOPA and PIPA couldve bought billions of revenue into the US economy, but internet dirtbags opposed it, prefering that the terrorists continue making hay off the backs of hardworking americans in hollywood.

In my job working for the government regulating small businesses I'm constantly left agast at the impotence of our ability to prosicute dollar whores who think they can just go out and start a business - just like that! In meetings Iùve constantly told my supiriors that we need to criminalise more people, as that represents our best source of revenue - and if the laws won't permit it, then give us the laws! This is the only way to get a grip on the terrorists ruining our economy and our reputation accross the world. You say leave people alone? They don't deserve it? Well, I say hte crime has already been commited once it has been thought. I'd like to run through many posters on Zero Hedge and prosicute them to their just deserts!

Wed, 02/08/2012 - 13:56 | 2138497 Dumpster Fire
Dumpster Fire's picture

0_o

Wed, 02/08/2012 - 14:04 | 2138528 nope-1004
nope-1004's picture

 

In my job working for the government regulating small businesses

 

Just don't enter the private sector.  We need people that kan spel wurdz in the privut sekter.

 

 

Wed, 02/08/2012 - 14:43 | 2138689 Comay Mierda
Comay Mierda's picture

MAXILOSER, your sarcasm sucks. talk to MDB, he can give you some pointers

Wed, 02/08/2012 - 14:01 | 2138521 SillySalesmanQu...
SillySalesmanQuestion's picture

Your innate inability to spell properly, or use grammtically correct prepositions and verbs in any useful manner, or form, only proves to all of us here at ZH that you DO work for the goverment...go back to your hole or rock.

Wed, 02/08/2012 - 17:29 | 2139312 A Nanny Moose
A Nanny Moose's picture

Those ESL classes seem to be working out well. Can't wait till the national DREAM act passes.

Thu, 02/09/2012 - 02:38 | 2140861 StychoKiller
StychoKiller's picture

Bah, verbogeny is one of many pleasurettes afforded a creatific thinkerizer.

Wed, 02/08/2012 - 14:04 | 2138527 Fukushima Sam
Fukushima Sam's picture

You're doing it wrong.  You need a better name and better grammer.

Wed, 02/08/2012 - 14:06 | 2138543 Global Hunter
Global Hunter's picture

prosicut them to there just desserts...

Wed, 02/08/2012 - 14:07 | 2138535 V in PA
V in PA's picture

Judging by the spelling and lack of coherent thought, it's obvious that you would work for the Government. In regulation no less.

 

edit: Apparently I'm not alone in this thought

Wed, 02/08/2012 - 14:25 | 2138624 Schmuck Raker
Schmuck Raker's picture

You mean its iznt yur job to post online on blogz?

Wed, 02/08/2012 - 19:38 | 2139764 smiler03
smiler03's picture

If I was employing him to post online I'd demand a refund.

Thu, 02/09/2012 - 02:39 | 2140863 StychoKiller
StychoKiller's picture

The "internet water army" has apparently lowered its standards for raw recuits...

Wed, 02/08/2012 - 17:07 | 2139230 Red Raspberry
Red Raspberry's picture

They just need to tax stupid and the books will balance in no time.  Of course it would be a progrssive tax.

Wed, 02/08/2012 - 17:10 | 2139237 Imminent Collapse
Imminent Collapse's picture

Get a spell checker or maybe get some education.  I am assuming that this is a sarcastic post, but if it is not, then this guy is a dick.

Wed, 02/08/2012 - 18:12 | 2139462 DosZap
DosZap's picture

theMAXILOPEZpsycho

And,I as a former PoTusss, would like to know what you on today?.

It's surely banned,(except in Commiefornica).

Thu, 02/09/2012 - 02:36 | 2140860 StychoKiller
StychoKiller's picture

"There's no way to rule innocent men.  The only power any government has is to crack down on criminals.  Well, when there aren't enough criminals, one makes them.  One declares so many things to be a crime that it becomes impossible for men to live without breaking laws.  Who wants a nation of law-abiding citizens?  What's there in that for anyone?  But just pass the kind of laws that can neither be observed nor enforced nor objectively interpreted--and you create a nation of law-breakers--and then you cash in on guilt.  Now that's the system, Mr. Rearden, that's the game, and once you understand it, you'll be much easier to deal with. --  Dr. Floyd Ferris, "Atlas Shrugged"

Wed, 02/08/2012 - 14:14 | 2138586 LongBalls
LongBalls's picture

How can the downgrade be as early as 6 months if it depends on the November elections? Am I missing something here?

Wed, 02/08/2012 - 14:46 | 2138696 Comay Mierda
Comay Mierda's picture

they are waiting for the republican nomination.  if its Rmoney, GingRICH, or Santowrong, then Obummer is a definite win.  If its Paul, they might upgrade to AAA

Wed, 02/08/2012 - 13:53 | 2138456 ebworthen
ebworthen's picture

Judging by the national debt and unfunded entitlement programs the U.S. should be CCC-.

Wed, 02/08/2012 - 13:53 | 2138482 alien-IQ
alien-IQ's picture

You're too kind. The US should be rated FFFucked.

Wed, 02/08/2012 - 13:51 | 2138457 alien-IQ
alien-IQ's picture

TOTALLY BULLISH!!!!

History proves this.

(the /ES is UP 145 points since the last downgrade in august...go figure)

Wed, 02/08/2012 - 13:49 | 2138466 Gamma735
Gamma735's picture

HAHAHAHAHA! I have a better credit rating than the US goverment.

Wed, 02/08/2012 - 13:58 | 2138508 Quintus
Quintus's picture

Presumably because you don't have to borrow 1/3rd of your daily outgoings in order to keep the lights on.

Wed, 02/08/2012 - 16:11 | 2139012 BurningFuld
BurningFuld's picture

Now how can you downgrade someone that can print their own money?  The USSA's credit will always be good. The money on the other hand...not so much.

Wed, 02/08/2012 - 13:49 | 2138467 edookati
edookati's picture

Celebrating bitchezz....

Wed, 02/08/2012 - 13:50 | 2138469 Vincent Vega
Vincent Vega's picture

FBI to declare S&P financial terrorist in 3...2...1...

Wed, 02/08/2012 - 13:50 | 2138472 surf0766
surf0766's picture

My neighbor told me the downgrade was all the tea party fault.  " If we just raised the debt ceiling there would never be a downgrade."  How screwed up is that thinking from a 60 year old baby boomer hippy wanting to keep the market up so he can golf 2 times a week.

Wed, 02/08/2012 - 13:56 | 2138501 Gamma735
Gamma735's picture

The boomers have been srewing every other generation since the day they were born.   But it is not their fault, their parents gave them a since of entitlement.  

Thu, 02/09/2012 - 01:26 | 2140748 Excursionist
Excursionist's picture

Everyone, tin foil hats on! Bernanke and S&P are in cahoots.  Check out prices of 10-year USTs beginning on July 27, 2011, when fund managers with priviliged information began front running the August 5th downgrade announcement.  By my reckoning, one notch on the S&P scale = 75 bps decrease in yields on the 10-yr, as the fear trade takes hold.  Three more notches, and 10-yr. yields go negative without Bernanke so much as having to incur the brain damage of justifying QEx.  It's fuckin' brilliant.

Boomers may be locusts infesting developed markets, but their comeuppance is coming during their golden years, when they'll have to pay Timmay G. for the privilege of holding Treasurys.

Wed, 02/08/2012 - 13:58 | 2138509 V in PA
V in PA's picture

That kind of thinking got us to where we are today.

 

I still believe what we are witnessing is the final death throes of Socialism. It will be painful, bloody and last decades but the light at the end of this tunnel is starting to become visible.

Wed, 02/08/2012 - 14:00 | 2138517 NotApplicable
NotApplicable's picture

I bet he watches this Dennis Hopper comercial over and over...

http://www.youtube.com/watch?v=9UEp3tLLZ6A

Wed, 02/08/2012 - 14:04 | 2138530 SillySalesmanQu...
SillySalesmanQuestion's picture

+1  LMAO for that jewel

Wed, 02/08/2012 - 14:01 | 2138518 taniquetil
taniquetil's picture

Well he's partially right. Once US debt gets a "junk" rating there never will be a downgrade again.

Wed, 02/08/2012 - 13:50 | 2138473 DogSlime
DogSlime's picture

Here in the UK, we still have our AAA rating due to our sound economic track record.

Thank God we don't have a 492% debt to GDP ratio or anything like that.  We would be downgraded to junk in an instant...

 

Wed, 02/08/2012 - 13:59 | 2138512 Global Hunter
Global Hunter's picture

I read your post in Dougal's voice from Father Ted and I had a good laugh.

Wed, 02/08/2012 - 14:15 | 2138593 withnmeans
withnmeans's picture

We hear you, yeah, we know its all a scam!

Wed, 02/08/2012 - 13:54 | 2138488 Tom.the.Bomb
Tom.the.Bomb's picture

John Lennon said, "Love means having to say you're sorry every fifteen minutes

 http://en.wikipedia.org/wiki/Love_means_never_having_to_say_you%27re_sorry

 

Wed, 02/08/2012 - 14:59 | 2138741 RichardENixon
RichardENixon's picture

That was after he had been with Yoko for a while.

Wed, 02/08/2012 - 13:55 | 2138493 ShankyS
ShankyS's picture

"but it has to have a credible medium-term fiscal plan"

 

Would be nice to have a budget first you'd think. 

Wed, 02/08/2012 - 13:59 | 2138516 Dick Darlington
Dick Darlington's picture

Or just a plan to have a budget. Some day. No need for it in the short term. Just a credible medium-term plan to have it. Some day.

Wed, 02/08/2012 - 14:39 | 2138672 Sudden Debt
Sudden Debt's picture

Does "blank cheque" sound like a budget plan?

Wed, 02/08/2012 - 15:53 | 2138904 Jena
Jena's picture

What's a thousand or so days between friends, hmm?

Wed, 02/08/2012 - 13:55 | 2138495 Shizzmoney
Shizzmoney's picture

I almost want Santorum to win the election for the complete lol that would soon follow.  People leaving the States in droves.  Taxes on the middle and poor classes going higher, as it goes down on corporations.  And of course, his DOJ making homosexuality illegal.

I'll be in Montreal by then at a strip club laughing at it all. 

Wed, 02/08/2012 - 13:59 | 2138510 slackrabbit
slackrabbit's picture

you forgot to mention iran. but then Ron is the only one who doesnt want to go......probably cos he served.

Wed, 02/08/2012 - 13:56 | 2138499 Global Hunter
Global Hunter's picture

That High Frequency day by day chart that TD posted a few days ago will need a new scale in 6 months!!!!

Wed, 02/08/2012 - 13:57 | 2138502 slackrabbit
slackrabbit's picture

just down grade now.....forget 6  months later

Wed, 02/08/2012 - 13:57 | 2138503 caerus
caerus's picture

superduper committee...ASSEMBLE!

Thu, 02/09/2012 - 02:44 | 2140871 StychoKiller
StychoKiller's picture

superduper committee...DISSEMBLE! (FIFY!)

Wed, 02/08/2012 - 13:58 | 2138504 tempo
tempo's picture

Bring it on!! The last downgrade resulted in all time low Treasury rates. The USA/Germany(EU,UK)will finance trillion dollar deficits to fund entitlements to keep the domestic peace. The countries that have the biggest nukes will make the rules and enforce slave labor in those countries that have no nukes. That is the "nuke rule". The prevailing $25/day wage rate w/o benefits (Foxconn) is unacceptable to the nuke (ruling class). There is no limit to the debt the central bankers backed w nukes (not assets or income) can issue. Get with the program. The economic and labor stats are made up to keep domestic peace.

Wed, 02/08/2012 - 19:40 | 2139770 Xanadu_doo
Xanadu_doo's picture

So, who needs gold when you have nukes, huh?

god bless amerika, every one of us.

Wed, 02/08/2012 - 13:58 | 2138506 azzhatter
azzhatter's picture

Just the fact Santorum is even a candidate says a lot about the sheeple

Wed, 02/08/2012 - 14:37 | 2138662 WonderDawg
WonderDawg's picture

Not that Gnat and Rombama are any better.

Wed, 02/08/2012 - 13:59 | 2138511 chunga
chunga's picture

S&P...you lost me right here.

"depending on the outcome of November elections"

What the hell difference is that going to make?

Your "ratings" are worthy of the following enunciation: You are full of shit.

Wed, 02/08/2012 - 14:04 | 2138529 Global Hunter
Global Hunter's picture

Yea great point, I'll say the election has already been decided but I'm quite wild, Romney or Obama there will be no difference.  We here in Canada had a great "conservative" revival over the last 10 years, conservatives finally won a majority in parliament a year ago over the liberals who had ruled through much of the 70s, late 80s and 90s and my tax rate rate has changed....ZERO.  

Wed, 02/08/2012 - 14:26 | 2138627 greensnacks
greensnacks's picture

10yr notes had fewer buyers today with yields up slightly. 30yr notes being auctioned tomorrow. Watch for rising yields.

 

 

Wed, 02/08/2012 - 13:59 | 2138515 taniquetil
taniquetil's picture

Efficient markets. All priced in. Bullish. Rinse and repeat.

Wed, 02/08/2012 - 14:02 | 2138520 Jlmadyson
Jlmadyson's picture

Bwhahahaha and just think they have done Jack S since the last downgrade. Except we have another TRILLION in debt with a T in six months. This fall is going to be a bloodbath.

And just think Moody's and Fitch are sleeping on their hands this whole time.

WAKE UP MOODY'S.

Wed, 02/08/2012 - 14:04 | 2138526 mktsrmanipulated
mktsrmanipulated's picture

does the ltro program really cause the ecb to print euros much like the fed

Wed, 02/08/2012 - 14:04 | 2138533 non_anon
non_anon's picture

will we be able to see that cool interactive chart like the last downgrade?

Wed, 02/08/2012 - 14:05 | 2138536 carbonmutant
carbonmutant's picture

Sounds like a target rich environment.

Greek debt not sustainable with 70 percent haircut -S&P, which currently rates Greece at CC with a negative outlook, said it intends to downgrade the country to "selective default," but just temporarily... lol

S&P also warned that credit conditions continue to deteriorate in Italy and France after it downgraded both countries last month, despite extraordinary steps by the ECB to boost liquidity in the market.

http://uk.news.yahoo.com/greek-debt-not-sustainable-70-percent-haircut-p...

Wed, 02/08/2012 - 14:08 | 2138540 John Law Lives
John Law Lives's picture

Congress (as a whole) has no intention of making substantial spending cuts. The Great Chairsatan intends to keep subsidizing their reckless spending by keeping interest rates artificially low. What a great team these clowns make...

100% FUBAR.

Wed, 02/08/2012 - 14:28 | 2138632 Everybodys All ...
Everybodys All American's picture

Obama 2012, 2016, etc. 

wouldn't he have a little bit to do with this as well.

Wed, 02/08/2012 - 14:56 | 2138733 John Law Lives
John Law Lives's picture

Obumble is a puppet.

Wed, 02/08/2012 - 19:44 | 2139784 Xanadu_doo
Xanadu_doo's picture

yep. remember, even when politicians talk about cuts, they're only talk about limits of future growth. all the budgets grow, just maybe not quite as much. it's like trying to drain the ocean with a straw. Just keep people distracted a little longer - we haven't really started tapping their pensions, etc. Yet...

Wed, 02/08/2012 - 14:06 | 2138544 vegas
vegas's picture

Where do you think gold will be in 10 years? The interest on 10 Y Treasuries is almost nothing. Why would anybody buy this worthless shit when you can have physical gold?

 

http://vegasxau.blogspot.com

Wed, 02/08/2012 - 14:12 | 2138572 tony bonn
tony bonn's picture

"faces the prospect of another rating cut in six to 24 months depending on the outcome of November elections...."

this announcement had absolutely nothing to do with the fiscal state of the usa.....rather, it had everything to do with the election and signaled the romney presidency.....hitler is beaming with joy....of course he would beam with obama but romney provides a special joy.....

Wed, 02/08/2012 - 14:13 | 2138575 Quinvarius
Quinvarius's picture

I like how analysts always point to the Fed bond prop job as evidence of some sort of strong demand.  Bonds went up so everything must be okay.  LOL.

Wed, 02/08/2012 - 14:14 | 2138582 Anonymouse
Anonymouse's picture

So let's start a pool.  Will CNBC describe it as

a) already priced in

b) the downgrade by that criminal rating agency that caused all this in the first place

 c) all of the above

Wed, 02/08/2012 - 14:22 | 2138614 surf0766
surf0766's picture

d) more evidence of the green shoots of the new green economy

Wed, 02/08/2012 - 14:24 | 2138615 Jlmadyson
Jlmadyson's picture

Maria: But sir how can you downgrade the United States AAA rating?

Chambers: Because we can and we will.

Hahah

Priced in right. These people haha.

Oh man green shoots I love it.

Just like goldilocks and soft landing right. It never ends. Keep spinning those numbers guys until the system breaks.

Wed, 02/08/2012 - 14:21 | 2138612 Bastiat009
Bastiat009's picture

All that irrelevant news ... seriously, the US is broke, S&P is a joke, markets don't care ... only a real revolution could change anything but you can't have a Superbowl and a revolution, so let's keep it irrelevant.

Wed, 02/08/2012 - 14:23 | 2138620 WillieNelsonListener
WillieNelsonListener's picture

didn't someone say, "the fed will not monetize the debt"?

Wed, 02/08/2012 - 14:56 | 2138736 RichardENixon
RichardENixon's picture

I think it might be the same guy who said there was no housing bubble.

Wed, 02/08/2012 - 14:40 | 2138674 Frank N. Beans
Frank N. Beans's picture

another bloomberg typo

should be "... downgrade to D+ in 6 to 24 days... "

 

 

Wed, 02/08/2012 - 15:05 | 2138759 digalert
digalert's picture

"credible medium-term fiscal plan" ?

A plan? WTF? Since the Barama regime took over we haven't had a mandatory annual budget for day to day government malfeasance, much less a fiscal plan for tomorrow.

Wed, 02/08/2012 - 15:10 | 2138774 Cole Younger
Cole Younger's picture

I dare them to downgrade us again...SWAT teams will be raiding there offices and confiscating the files. They will be labled terrorists and sent to Cuba...That will shut them up...

Wed, 02/08/2012 - 15:20 | 2138798 HungrySeagull
HungrySeagull's picture

Downgrade away, whatever it takes to get this market settled down properly again.

 

Oh one other thing, we dont have 6 months at our current national credit burn rate. We may be downgraded in 6 days. Or why not fucking just downgrade today and get it over with huh?

Wed, 02/08/2012 - 15:23 | 2138810 mirac
mirac's picture

Egan Jones will probably be downgrading the US within a month...

Wed, 02/08/2012 - 15:25 | 2138816 slewie the pi-rat
slewie the pi-rat's picture

my brother has this guy for 7th grade, last year

he's really easy and grades on the curve

smoke?

Wed, 02/08/2012 - 15:32 | 2138835 I should be working
I should be working's picture

Ironically as we saw last summer, the  threat of a rating cut is incredibly bullish for treasury notes.  It's the only financial instrument in the world whose price is inversely proportional to S&Ps rating.

Wed, 02/08/2012 - 15:50 | 2138896 SheepDog-One
SheepDog-One's picture

US credit rating downgraded again, so then DOW 17,000 I guess?

Wed, 02/08/2012 - 16:57 | 2139188 Iwanttoknow
Iwanttoknow's picture

Getting my bonus.Buying more silver.yeah.

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