US debt rating cut

[Caliga]

wtf is this bullshit?  Obama needs to start breaking people's legs.

Egan-Jones cuts U.S. debt rating to AA- from AA

NEW YORK (AP) -- Egan-Jones, an independent credit research firm, downgraded its rating on U.S. government debt to AA- from AA on Friday, citing the Federal Reserve's new plans to try to stimulate the economy.

The credit rating agency said the central bank's plan, announced Thursday, to buy mortgage bonds will likely hurt the economy more than help it.
Egan-Jones is a much smaller but well-known competitor to the big three rating agencies: Moody's Investors Service, Fitch Ratings and Standard & Poor's.

Egan-Jones said the Fed's plan will weaken the value of the dollar and push up prices for oil and other commodities. That would leave less for consumers to spend on other things.

At the same time, the agency warned that the federal government's borrowing costs are likely to slowly rise as the global economy recovers.
On Thursday, the Fed said it would buy $40 billion of mortgage bonds a month to help the economic recovery.
In April, Egan-Jones lowered its rating on the U.S. to AA from AA+. It stripped the U.S. of a top AAA rating in July 2011.

Sean Egan, the company's founder, has long railed against the power of the three major rating agencies. Egan-Jones Rating Co. is one of 10 firms the Securities and Exchange Commission recognizes as a rating organization.

Earlier this week, Moody's said it would likely lower its "Aaa" rating on U.S. government debt if budget negotiations fail.
Standard & Poor's stripped the government of its "AAA" rating on its bonds in August 2011. Fitch Ratings issued a warning of a potential downgrade.

[Ed Anger]

Who? Egan what?

[CountDeMoney]

So much Bernanke hate in this world.

[Caliga]

Who? Egan what?

Nice avatar.

[MadImmortalMan]

QE4ever

[KRonn]

No surprise. I also dislike Bernanke, also Summers and Geithner and others who I forget the names right now. Many of these guys in the Bush and Obama admin came from Goldman Sachs or other big financial houses, or a State Federal Reserve as with Geithner. And all those institutions were part of the financial meltdown, and still the people from those houses are continually hired to now fix the issues.

Bernanke with his printing of more money, 40 billion a month. That will help the stock market,maybe some of the real estate market, but do little for everyone else or for jobs. It adds again and again to inflation and the weakening of the dollar. Oil prices go up as the dollar is devalued. But hey, it didn't work before so why not do another QE!

Pres Obama's policies haven't worked, and Bernanke has been going to desperate means to keep the economy from going even further south, but causing whole new sets of issues. I'm most afraid of the inflation that will set in soon enough.

[Ideologue]

OMG INFLATION THERE'S SO MUCH OF IT.

Oh wait, there isn't.  Fucking at all.

[Neil]

OMG INFLATION THERE'S SO MUCH OF IT.

Oh wait, there isn't.  Fucking at all.

Well, not quite.  There isn't that much, but it's still there.  Still, the entire point of modern economics is to defeat inflation.  Fuck employment.

[FunkMonk]

We need to Whip Inflation Now.

[Admiral Yi]

Bernanke with his printing of more money, 40 billion a month. That will help the stock market,maybe some of the real estate market, but do little for everyone else or for jobs.

  Would everyone else be better off if interest rates were to rise?