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View Full Version : Fears of another US credit downgrade are growing on Wall Street



red states rule
10-25-2011, 04:09 AM
If this happens this should do wonders for the Obama economy. I can hear Obama, the Dems, and liberal media now - blaming R's for not passing the Obama "jobs" bill; incresing taxes on the "rich", and blocking more government spending; that would have prevented this from happeneing





Wall Street is growing nervous about the congressional supercommittee amid warnings from major banks that failure to reach a deal could lead to another downgrade of U.S. debt.

The bipartisan, 12-member panel has only until Nov. 23 to find at least $1.2 trillion in deficit cuts. Failure to strike a deal could rattle confidence in Washington and depress stock prices well into 2012, analysts say.

Fitch Ratings, one of the three major credit raters, said in August that failure by the supercommittee to agree to a $1.2 trillion deficit-reduction package “would likely result in negative rating action.”

There have been no signs of progress from the secretive talks thus far. Sources close to the panel say members are deadlocked on basic questions about what policy issues to address and what budget scenarios to use.

In its outlook for this week, Bank of America Merrill Lynch said it “expects” a downgrade by one of the three credit agencies “when the supercommittee crashes.”


http://thehill.com/homenews/house/189497-fear-of-another-downgrade-sparks-worry-on-wall-street

avatar4321
10-25-2011, 07:42 PM
If this happens there will be violence on the streets. The real life consequence of this would be downright scary for everyone.

red states rule
10-26-2011, 03:26 AM
If this happens there will be violence on the streets. The real life consequence of this would be downright scary for everyone.

We already have that with the hippies from one end of the country to the other