S&P downgrade tonight because Repukes refuse to accept tax increases

[flamingdem]

** Looks like Wall Street did not beat up Boehner enough.

A government official tells ABC News that the federal government is expecting and preparing for bond rating agency Standard & Poor’s to downgrade the rating of US debt from its current AAA value.

Officials reasons given will be the political confusion surrounding the process of raising the debt ceiling, and lack of confidence that the political system will be able to agree to more deficit reduction. A source says Republicans saying that they refuse to accept any tax increases as part of a larger deal will be part of the reason cited.

The official was unsure if the bond rating would be AA+ or AA.

http://blogs.abcnews.com/politicalpunch/2011/08/govt-official-us-expecting-sp-downgrade.html

[fascisthunter]

1. shows how little they care about their own country

[flamingdem]

2. yes, and it shows their ignorance about finance and capitulation to ideology

... or maybe it's all just desperation to regain power.

I'm surprised because just the other day Standard and Poors was ranting about wanting more cuts..

That must have been the lackey, but the CEO has a brain.

[indepat]

18. Repug are not ignorant: they are willfully and maliciously warped, capricious, and destructive

:patriot:

[Parker CA]

3. This isn't good. nt

[proud patriot]

4. CRAP

[boxman15]

5. Not good news at all.

I truly hope the GOP pays the political price for all the damage they've done to the country over the past decade. It's sickening. It's all about politics to them. It's not about getting things done for the sake of the American people.

[flamingdem]

7. I don't know how this will effect interest rates for consumers nt

[boxman15]

9. I don't know either, but

I just know that it won't do any good for increasing confidence in the economy, which is possibly the most important factor in strengthening it.

[flamingdem]

11. I fear Obama will be stuck with this regardless of who caused the mess

and a mess it will be next year if we can't get some stimulus-job creation going fast.

[boxman15]

13. I hope Obama becomes that great communicator we saw in 2008 again.

The most surprising thing about the Obama presidency, to me, is how he has failed to communicate with Americans successfully. He's still the greatest speaker of this generation, but he hasn't used his talents to his political advantage. I don't think it would've changed any legislation (and he's gotten a lot done, btw) because of the ridiculously partisan and sociopathic GOP, but I think if people knew what was going on and Obama was able to cut through the spin more effectively, he wouldn't get blamed for some of these things.

Campaign season is approaching (if it isn't already here), so I hope Obama can use these rallies, where he seems more comfortable, to put the blame where it needs to be. He didn't cause this mess. They did. If he doesn't communicate well, he'll be blamed for it. If he does, he'll be re-elected easily.

[flamingdem]

17. Dems seem to love him at 80% approval, maybe he's being careful ..

and he has waiting until now to pull out the stops. I know what you mean though, messaging has been lacking big time. I assume it has something to do with his advisers who may be inexperienced.

[abelenkpe]

6. Standard & Poor's?

the same cats who didn't see the crisis coming in 2008?

Thats rich.

They better say it because reps refused tax increases.

[Cali_Democrat]

8. This was bound to happen when the Bush tax cuts were extended

See my post from many months ago....

http://www.democraticunderground.com/discuss/duboard.php?az=view_all&address=433x564076

[flamingdem]

10. So if the Repukes want to destroy the economy to win in 2012, the question is

will Americans hold them to blame ... or will they forget all this about the debt debacle and listen to Mittens touting job creation..

[eilen]

12. This was leaked last week when they made the "deal."

and there were naysayers here.

[jefferson_dem]

14. Others are "refudiating" the ABC News report of imminent downgrade.

Whispers that S&P would downgrade Friday have been circulating on financial blogs. Joe Weisenthal at Business Insider says there's been "crazy chatter" about the rating. MSN Money's Kim Peterson reports that despite the rumors, many believed S&P wouldn't downgrade since rival ratings agencies Moody's and Fitch said they wouldn't. A downgrade would mean higher interest rates--not to mention a blow to America's self-esteem, she writes.

But Forbes' Steve Schaefer dismissed the rumor, saying flatly, "this isn't going to happen." Why not? Because S&P wouldn't want to stand alone in deciding to downgrade. It would "catch hell for going out on a limb on its own." A financial analyst said the rumor sounded like one that'd been started by "someone who wants the market to go down even further." Another also said S&P would stay "politically sensitive" and not downgrade.

http://www.theatlanticwire.com/business/2011/08/report-government-expects-sp-downgrade-us-credit-rating/40914/

[flamingdem]

15. Maybe they just intended to float the rumor so they look "serious" nt

[LaydeeBug]

16. or because Obama refused to do the right thing and fight for them. nt