Now. Here we are in February. And we have another contender. A strong one. Very strong.
Geithner Says U.S. Will ‘Never’ Lose Its Aaa Debt Rating
Of course, Mr. Geithner is wrong. And stupid. Or just playing a part. Granted, he may inadvertently and technically, and also meaninglessly, be correct in that the negligent and bought-and-paid-for rating agencies themselves may never touch the U.S. rating.
But the bond market. Which may not be that sharp but, in time, eventually does get it. Will. And that popping of the “elephant in the room that shall not speak its name” bubble will be so very ugly.
And of course, on that day, we’ll be here to remember Mr. Geithner’s sage words.
Congratulations, sir, you are in the esteemed company of Senator Dodd as the sole candidates thus far for year’s most assinine, idiotic bloviation. Keep it up. You know you make us very proud.
March 12th, 2010 at 2:24 pm
S&P warns over America’s top-tier rating
March 15th, 2010 at 9:26 am
The U.S. and the U.K. have moved “substantially” closer to losing their AAA credit ratings as the cost of servicing their debt rose, according to Moody’s Investors Service.
March 21st, 2010 at 7:01 pm
Bonds Show U.S. Losing AAA
March 25th, 2010 at 8:31 am
U.S. Is Riskier Than Euro Zone; So Says CDS Market:
“Something troubling has occurred in the market for default protection on the debt of the world’s biggest borrower.
As the folks at Standard Poor’s Valuation and Risk Strategies division noted in a research note Monday, the difference between the spread on U.S. sovereign credit default swaps and an equivalent benchmark for AAA-rated euro-zone sovereigns flipped into positive territory March 12. As U.S. CDS spreads expanded to their widest levels in two years, that cross-region gap blew out to 5.7 basis points last Friday before narrowing to 4.7 Tuesday.
Wider CDS spreads indicate that sellers of insurance against a particular issuer’s default are charging more for it. In effect, the positive U.S.-versus-euro zone spread means investors think the risk of a U.S. default–however remote–is greater than that on euro-denominated sovereign debt.”
April 1st, 2010 at 9:46 am
Thinking the Unthinkable: A U.S. Rating Downgrade:
“Never say never. Treasury Secretary Timothy Geithner broke that cardinal rule last week when he said a ratings downgrade ‘will never happen to this country.’”
April 1st, 2010 at 9:55 am
Much Ado About Debt
April 23rd, 2010 at 10:44 am
Bought. And paid for:
Senate probe says credit raters helped spread risk:
“Credit rating agencies helped banks disguise the risks of investments they marketed before the financial crisis erupted, a Senate panel has concluded.
The rating agencies relied on hefty fees from banks, which wanted them to rate risky investments as safe, the Permanent Subcommittee on Investigations said in a report Thursday.”
May 8th, 2010 at 7:11 pm
U.S. Debt Shock May Hit In 2018, Maybe As Soon As 2013: Moody’s
They say that’s the pessimistic scenario. I say it’s optimistic.
Course, Moody’s ain’t gonna be downgrading Uncle too fast, what with Uncle having its balls in a vice. What was that about a downgrade? Oh, we’ll just make this a little tighter. Feels nice, doesn’t it? You hold the key.
May 26th, 2010 at 12:38 am
The U.S. government’s Aaa bond rating will come under pressure in the future unless additional measures are taken to reduce projected record budget deficits, according to Moody’s Investors Service Inc.
Translation: “If we had spine, we would have cut it years ago.”
June 6th, 2010 at 8:37 pm
U.S.’s $13 Trillion Debt Poised to Overtake GDP: Chart of Day
August 3rd, 2010 at 5:15 pm
Add this to the denial pile:
Welcome to the Recovery
This pig. It needs more lipstick. More lipstick, damnit!
August 26th, 2010 at 8:41 am
The United States government needs to take steps to preserve its top AAA-rating, a Standard & Poor’s Ratings (S&P) official told Dow Jones newswire in an interview published on Thursday.
September 2nd, 2010 at 11:51 am
IMF ponders the improbable: Will U.S. default?
September 3rd, 2010 at 9:36 am
Dagong sounds the gong on U.S. debt
September 3rd, 2010 at 9:37 am
Should US government debt be rated junk?:
“If we simply look at the ratios and the future outlook, the answer is quite obvious.”