https://www.cnn.com/2023/08/01/business/fitch-downgrade-us-debt/index.html
Fitch downgrades US debt on debt ceiling drama and governance worries
Fitch Ratings downgraded its US debt rating on Tuesday from the highest AAA rating to AA+, citing “a steady deterioration in standards of governance.”
The downgrade comes after lawmakers negotiated up until the last minute on a debt ceiling deal earlier this year, risking the nation’s first default. But the January 6 insurrection was also a major contributing factor.
US debt has long been considered the safest of safe havens, but Tuesday’s rating cut suggests it has lost some of its luster. The downgrade has potential reverberations on everything from the mortgage rates Americans pay on their homes to contracts carried out all across the world.
The move could cause investors to sell US Treasuries, leading to a spike in yields that serve as references for interest rates on a variety of loans.
Explaining its rationale for the downgrade, Fitch pointed to “the expected fiscal deterioration over the next three years, a high and growing general government debt burden, and the erosion of governance relative to ‘AA’ and ‘AAA’ rated peers over the last two decades that has manifested in repeated debt limit standoffs and last-minute resolutions.”
Fitch said the decision wasn’t just prompted by the latest debt ceiling standoff but rather “a steady deterioration in standards of governance over the last 20 years” regarding “fiscal and debt matters.”
@vivify saidThanks, Republicans.
https://www.cnn.com/2023/08/01/business/fitch-downgrade-us-debt/index.html
Fitch downgrades US debt on debt ceiling drama and governance worries
Fitch Ratings downgraded its US debt rating on Tuesday from the highest AAA rating to AA+, citing “a steady deterioration in standards of governance.”
The downgrade comes after lawmakers negotiated up until the ...[text shortened]... tion in standards of governance over the last 20 years” regarding “fiscal and debt matters.”
"The country’s new Fitch rating puts it on par with Austria and Finland but below Switzerland and Germany."
Today is when you can mark the official start of the U.S. empire. The only reason why America's countless evils have been overlooked, apart from its weapons is because of the U.S. reputation as an economically stable powerhouse. Once the U.S. becomes worthless financially the world will stop giving a damn.
It's not social issues mass pollution, war-mongering or human rights abuses that killed America. It is America's inability to grow up when it counts long enough to manage itself as a country.
trump and his supporters are generally to blame the last 8 years or so, for the US’s decline in international opinions.
However, it started with Raygun. But that was just the left-wing intelligensia noticing the religious stupidity entering politics and coming away with crackers like “just say no.”
Then Bush jr.
My God. That man was thick. And so many Americans driving around with their litte flags, scoffing freedom fries and basically buying into the non-sensical.
But that was mainly normal folks in the Middle East, Europe and Asia that noticed this.
trump; his lies, his utter stupidity, and even worse, the extreme right-wing supporting him… with their hillbilly accents, maga hats and retarded opinions on every form of social media, have hammered the nails
Into the US’s coffin on the international stage.
And the only alternative they yanks can come up with is bloody Biden. A man so old he can’t walk off a stage in dignity.
Me thinks the financial downgrade is the least of America’s worries.
@shavixmir
The big worry is Trump being pronounced guilty on this latest series of charges but the appeals going on for YEARS keeping his sorry ass out of jail and if he by some sick turn of events becomes POTUS again, ALL that work will be in the trash, he will pardon himself and ALL the rest like the thousand plus arrested, his foot soldiers, he has already said he will pardon ALL of them and then continue his coup by taking over the courts Ala Natan YAHOO is doing in Israel right now. The entire planet will enter a new dark era that will take generations to clean up the results.
He will trash NATO like he wanted to originally, and make some kind of devils alliance with Putin and Kim Jon Un and won't THAT be a great day for humans in general.
Make no mistake, if he does become POTUS again the world will suffer.
Like innovation in electronics and medicine will be downgraded to what can you all do for ME the emperor of the WORLD?
@shavixmir saidAmerica is worthless on the global stage outside of its perceived financial stability. You're correct that domestically we have much larger problems but our foreign policy (apart from military actions) revolves entirely around our show of economic strength.
Me thinks the financial downgrade is the least of America’s worries.
The downgrade also puts the dollar's status as the world reserve currency at risk. This can be good if it moves the world away from dependency on the dollar but it's not only bad for the U.S., it throws the world economy into uncertainty until that happens.
What happened to the GOP's values about fiscal responsibility? We could've used it during the debt ceiling talks which would've helped prevent this downgrade. Instead they thought nothing of using the threat of shutting down the government to force their own policies.
@shavixmir saidDemocratic leaders saw him as the lowest risk option to appeal to conservative voters. The more right-leaning Dems kept claiming Sanders was "too radical" to realistically win. Biden was seen as someone inoffensive enough to Republicans that he stood the best chance of winning their votes.
And the only alternative they yanks can come up with is bloody Biden. A man so old he can’t walk off a stage in dignity.
The Democratic party doesn't get slammed enough for what they've done.
@vivify
That is what happens when you spend too much on military and empire.
The funding of the Ukraine war is an outspending strategy. Russia will go bankrupt before we will. And they want to pick a fight with China over Taiwan. Why wouldn't there be a credit downgrade? The USA is doing what Nazi Germany did. Nobody spends this much on the military unless they intend to use it.
- Joined
- 05 Nov 06
- Moves
- 147484
@vivify saidlet me guess…Trumps fault
https://www.cnn.com/2023/08/01/business/fitch-downgrade-us-debt/index.html
Fitch downgrades US debt on debt ceiling drama and governance worries
Fitch Ratings downgraded its US debt rating on Tuesday from the highest AAA rating to AA+, citing “a steady deterioration in standards of governance.”
The downgrade comes after lawmakers negotiated up until the ...[text shortened]... tion in standards of governance over the last 20 years” regarding “fiscal and debt matters.”
- Joined
- 05 Nov 06
- Moves
- 147484
@metal-brain saidhow do you ignore “the green new deal”, billions to bale out peoples loans?
@vivify
That is what happens when you spend too much on military and empire.
The funding of the Ukraine war is an outspending strategy. Russia will go bankrupt before we will. And they want to pick a fight with China over Taiwan. Why wouldn't there be a credit downgrade? The USA is doing what Nazi Germany did. Nobody spends this much on the military unless they intend to use it.
@mott-the-hoople saidMore than anything else Fitch is citing the cyclical debt ceiling chicken game played by Republican congress when ever they have a majority in the HoR and a democrat in the White House along with the extreme the polarisation of the body politic. It began before trump and will carry on without him but trump is the single most obvious manifestation of it today
how do you ignore “the green new deal”, billions to bale out peoples loans?
Never once mentioned the green deal or any other Biden economic initiative.
It’s not trump though mott, it’s you!
@mott-the-hoople saidThe credit agency mentions the insurrection as a significant factor, so yes.
let me guess…Trumps fault
@mott-the-hoople saidBecause neither the Green New Deal nor the loan bailout was enacted.
how do you ignore “the green new deal”, billions to bale out peoples loans?
