S&P Executive: 1 in 3 Chance of Future Downgrade
- Posted on August 7, 2011 at 6:04pm by
Scott Baker
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WASHINGTON (AP) — A Standard & Poor’s official said Sunday there is a 1 in 3 chance that the U.S. credit rating could be downgraded another notch if conditions erode over the next six to 24 months.
The credit rating agency’s managing director, John Chambers, told ABC’s “This Week” that if the fiscal position of the U.S. deteriorates further, or if political gridlock tightens even more, a further downgrade is possible.
Chambers also said that it would take “stabilization and eventual decline” of the federal debt as a share of the economy as well as more consensus in Washington for the U.S. to win back a top rating.
S&P downgraded the U.S. rating Friday, from AAA to AA+, for the first time.
Meanwhile, former Federal Reserve Chairman Alan Greenspan said he expects the stock market slide to continue in the wake of a decision by S&P to downgrade the U.S. credit rating.
Appearing Sunday on NBC’s “Meet the Press,” Greenspan said markets will take time to bottom out and that he expects a negative reaction on Monday to the S&P action.
But Greenspan also said he doesn’t see any risk in investing in the United States and says that S&P‘s downgrade won’t change that.
The former Fed chairman said the downgrade “hit a nerve” and is damaging to the psyche of the country. But he said he can’t foresee a scenario in which the U.S. will default on its debts.
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nysparkie
Posted on August 9, 2011 at 9:58amNext up Batting 333% is the American economy. Hasn’t had a homer in years.
Report Post »jnt4136
Posted on August 8, 2011 at 8:18pmIf I take all the risk and spend all my money in a company and i enploy union workers if i make a dime they will want five cents with no risk
Report Post »jnt4136
Posted on August 8, 2011 at 8:14pmOne of the biggest union states in the world MICHIGAN you LIBS Tell me what went wrong??????
Report Post »TheWord-DH077
Posted on August 8, 2011 at 1:49pmOur orders—backed up by the Master, Jesus—are to refuse to have anything to do with those among you who are lazy and refuse to work the way we taught you. Don’t permit them to freeload on the rest. We showed you how to pull your weight when we were with you, so get on with it. We didn’t sit around on our hands expecting others to take care of us. In fact, we worked our fingers to the bone, up half the night moonlighting so you wouldn’t be burdened with taking care of us. And it wasn‘t because we didn’t have a right to your support; we did. We simply wanted to provide an example of diligence, hoping it would prove contagious. Don’t you remember the rule we had when we lived with you? “If you don’t work, you don’t eat.” And now we’re getting reports that a bunch of lazy good-for-nothings are taking advantage of you. This must not be tolerated. We command them to get to work immediately—no excuses, no arguments—and earn their own keep. Friends, don’t slack off in doing your duty.
Report Post »2 Thessalonians 3:6-13
db321
Posted on August 8, 2011 at 12:10pmIt‘s not Obama’s fault – he inherited America’s Triple A rating from Bush.
Report Post »Sleazy Hippo
Posted on August 8, 2011 at 12:06pmTest
Report Post »lotus143
Posted on August 8, 2011 at 11:03amSTANDARD & POORS ARE IN obamas BACK POCKET! They want tax INCREASES. They think letting the Bush tax cuts will hurt the economy! anybody who thinks we need tax increases now is an IDIOT! THE obama ADIMINSTRATION THINKS WE NEED TAX INCREASES! THEY ARE COMMUNISTS! They are in on this thing together. they think alike. I wouldn’t let this bunch of COMMUNISTS BALANCE MY CHECK BOOK!
Report Post »Mercy2011
Posted on August 8, 2011 at 11:00amYeah! That blasted TEA PARTY! Wanting a BALANCED BUDGET, CUT the SPENDING, fix the ENTITLEMENTS so they don’t go bankrupt…hallelujah, that’s the answer…this downgrade is all the TEA Parties FAULT!! ha ha ha ha ha ha ha
Report Post »EqualJustice
Posted on August 8, 2011 at 10:54amHow about the DOWNGRADE that happened this past FEBRUARY? No one even KNEW about that one, by Egan-Jones (a member of the cartel of ten credit-rating agencies recognized under federal law) to AA! How was that kept so QUIET??
Report Post »Anamah
Posted on August 8, 2011 at 5:46amThis is the Obama downgrade.
Report Post »omni
Posted on August 8, 2011 at 8:20pmAnd can you believe that this dork is actively considering another stimules?
Report Post »Shiroi Raion
Posted on August 8, 2011 at 3:11amSimplify the tax code, undo Carter’s takeover of education and give the states control over their own schools, repeal Obamacare, and force the bureaucracies to pass their regulations and spending via Congress and that would bring dramatic recovery to the economy.
Report Post »There’s plenty they can do, but Congress is afraid of the unions. The Progressives are more worried about re-election than doing what’s right.
euragone
Posted on August 8, 2011 at 8:07amSo what does a union have to do with U.S. debt rating.. Quit the Union and Bush bashing.. and get some facts.. stop watching Fox News..Unions have nothing to do with our debt issues.. what this has to do with is Companies not being able to force their workers to take a lower wage and rake in a greater profit.. THIS IS ABOUT GREED! the Thing that has caused most of the DEBT Issue in the first place.. TAX Exxon, TAX GE.., TAX the Major Money Earners More.. Why are Lower and Middle Class paying the Most tax.. This isn’t a feudalism.. Keep this crap up and you will find yourself in another Revolution.. and all the power hungry greed mongers will be sorry
Report Post »politicaljules
Posted on August 8, 2011 at 2:35amRepeal obamacare to put us on the road to recovery.
Report Post »The_Almighty_Creestof
Posted on August 8, 2011 at 2:31am“A Standard & Poor’s official said Sunday there is a 1 in 3 chance that the U.S. credit rating could be downgraded another notch if conditions erode over the next six to 24 months.”
Let’s see…Obama has roughly 16 months left in office…what are the odds things will “erode” more? I don’t think even Vegas will take bets on that.
Report Post »gmoneytx
Posted on August 8, 2011 at 9:37amI’m from Vegas, that’s a SURE BET!
Report Post »Jedi Knight
Posted on August 8, 2011 at 1:46amAlthough there may have been a mathematical mis-calculation, the downgrade was justified. Timmmmay Geitner and the POTUS knew this was coming and they did nothing. Spending is out of control! Get out of the stock market now! Obama=The Lying King. Failed policies! No more BIG government! NO-Bama-2012!
Report Post »Tretka
Posted on August 8, 2011 at 2:10amJedi, I don’t think it was miscalculation. It was a disagreement about how to arrive at the same answer.
Report Post »Chuck Stein
Posted on August 8, 2011 at 1:26amOn the bright side, at least now a whole lot more people know about and care about things like credit ratings, the size of the national debt, etc. The first step towards positive change is public awareness.
Report Post »Carolina Infidel
Posted on August 8, 2011 at 6:56amThe problem with public awareness is the source of the information. Most people I know who don’t “keep up” with the govt or “news” have heard so much misinformation that they aren’t any better off for caring.
Report Post »I really think it is time for a two state solution in this country. Many don’t want to be capitalist any more. I say lets split it up. I hate to give up the west coast but we can at least have New Jersey down and across to Arizona.
Steel Awesome
Posted on August 8, 2011 at 10:46amI heard on the news that this downgrade was the Tea Party’s fault. Any truth in that assertion?
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