Could the US be on the verge of another credit downgrade from another rating agency?
November 23rd is the next drop dead date to reduce the runaway Federal Deficit by $1.2 Trillion. Failure by the Super Committee to reduce the deficit would automatically take effect in 2013. Why do politicians kick the can down the road?
“The credit rating agencies have strongly suggested that further rating cuts are likely if Congress does not come up with a credible long-run plan” to cut the deficit. This administration continues to pile on debt at a record pace. It would seem to some that this is almost intentional. Get more people dependent on government. If you look through the course of history, that has never worked, and will never work. Capitalism has it’s faults, but it is the only solution to get out of this crisis. Small Business creates the majority of jobs in this country. Get rid of the strangling regulations, and increase incentives for small business to create jobs.
A second downgrade — either from Moody’s or Fitch — would follow Standard & Poor’s downgrade in August on concerns about the government’s budget deficit and rising debt burden. A second loss of the country’s top credit rating would be an additional blow to the sluggish U.S. economy.
Buckle your seat belts…You could be in for a bumpy ride in the markets.