United States Credit Rating Downgraded Again From AA to A+

Zero Hedge reports:

Fan, meet s***: “Dagong has downgraded the local and foreign currency long term sovereign credit rating of the United States of America (hereinafter referred to as “United States” ) from “AA” to “A+“, which reflects its deteriorating debt repayment capability and drastic decline of the government’s intention of debt repayment. The serious defects in the United States economic development and management model will lead to the long-term recession of its national economy, fundamentally lowering the national solvency. The new round of quantitative easing monetary policy adopted by the Federal Reserve has brought about an obvious trend of depreciation of the U.S. dollar, and the continuation and deepening of credit crisis in the U.S. Such a move entirely encroaches on the interests of the creditors, indicating the decline of the U.S. government’s intention of debt repayment. Analysis shows that the crisis confronting the U.S. cannot be ultimately resolved through currency depreciation. On the contrary, it is likely that an overall crisis might be triggered by the U.S. government’s policy to continuously depreciate the U.S. dollar against the will of creditors.“

It will only be short while longer until the rest of the world stops buying our bogus treasury bills, forcing Bernanke to print money in order to maintain our government’s bloated carcass.

I feel this is already occurring and is the primary reason for “QE2″. No one wants our debt. They know the US isn’t good for it. They will not get paid back in dollars that are worth anything.

Anyone holding US treasuries is a sucker.

Wow even more fantastic news! I really don't know how much more great news like this I am going to be able to take. At this rate I am absolutely certain my USD wallpaper will soon be a reality instead of just a dream.

People care too much about playing their new COD game than rather take interest in what really matters: science, economics, history, and so on. No one seems to care even about the basic things anymore, that is one major reason the U.S. will fall.

Could only be a matter of days now before we see something significant happening. Opening of the G20 Summit in Seoul on Thursday 11/11/2010. Definitely have the environment for something pretty significant happening at that summit.

Has any agency besides Dagong changed the credit rating? I wouldn't be surprised since everyone knows US is digging a bottomless financial hole, but I thought Dagong was a fairly new, gov't backed Chinese rating firm.

Gold Trades North Of $1,420 After China's PBOC Advisor Li says it is "absurd" to call the dollar a reserve currency

Zero Hedge reports:

Precious metals have now entered their parabolic phase. The latest catalyst for gold having traded north of $1,420 is not only the ongoing collapse of Europe via surging spreads and accelerating ECB bond monetization, which in tried and true bizarro fashion have lead to a more than 100 pip move higher in the EURUSD, but the latest speech by PBOC academic advisor Li Daokui, who said that it is "absurd" that the dollar is still the reserve currency of the world. We are confident that pretty much everyone in China agrees.

As ZH notes, we are entering a phase of the economic meltdown where the dollar rapidly loses value.

We will see prices skyrocket as wages remain flat.

Shopping at Wal Mart is about to get a whole lot more expensive.

WOW!

Game on folks. We're hitting the skids from this point on.

How long have people been warning us and we just keep ignoring them?

reply to post by mnemeth1


So let me get this right. These are the current events going one in the past few weeks that we are looking at:
Supposed earth quake that was detected around the world
Bombes found on planes bound for the US (did we find the real Bombs or where they a distraction)
QE2 starts and gets harsh response from all nations; commodities are going through the roof.
Dollar falling (a 10% drop in the dollar is about a 30 billion dollar tax on Americans through price inflation
Large armada of US naval ships moved to Asian and Middle East
Most of the white house is in Asia
The Simpsons video (BS I know, but I just thought that was cool)
Israel discussing with the US new possibilities of using force to stop Iran’s nuke program
Mysteries missile launch in Midwest air base
New congress discussing the possibility of not raising the debt ceiling (could stop china from buying atre bonds)
Gold breaks through $1400.00 dollars an ounce
Silver over $28.00 an ounce
Mysterious missile launch off the coast of California
US credit rating downgraded from AA to A+ by Dangong. I still need to confirm this could be bad if others follow suit.
Hmmmmmmmm very interesting.

Originally posted by murfdog
reply to post by mnemeth1

 

So let me get this right. These are the current events going one in the past few weeks that we are looking at:
Supposed earth quake that was detected around the world
Bombes found on planes bound for the US (did we find the real Bombs or where they a distraction)
QE2 starts and gets harsh response from all nations; commodities are going through the roof.
Dollar falling (a 10% drop in the dollar is about a 30 billion dollar tax on Americans through price inflation
Large armada of US naval ships moved to Asian and Middle East
Most of the white house is in Asia
The Simpsons video (BS I know, but I just thought that was cool)
Israel discussing with the US new possibilities of using force to stop Iran’s nuke program
Mysteries missile launch in Midwest air base
New congress discussing the possibility of not raising the debt ceiling (could stop china from buying atre bonds)
Gold breaks through $1400.00 dollars an ounce
Silver over $28.00 an ounce
Mysterious missile launch off the coast of California
US credit rating downgraded from AA to A+ by Dangong. I still need to confirm this could be bad if others follow suit.
Hmmmmmmmm very interesting.

indeed.

As ZH says - the s*** is about to hit the fan.

Originally posted by murfdog
reply to post by mnemeth1

 

So let me get this right. These are the current events going one in the past few weeks that we are looking at:
Supposed earth quake that was detected around the world
Bombes found on planes bound for the US (did we find the real Bombs or where they a distraction)
QE2 starts and gets harsh response from all nations; commodities are going through the roof.
Dollar falling (a 10% drop in the dollar is about a 30 billion dollar tax on Americans through price inflation
Large armada of US naval ships moved to Asian and Middle East
Most of the white house is in Asia
The Simpsons video (BS I know, but I just thought that was cool)
Israel discussing with the US new possibilities of using force to stop Iran’s nuke program
Mysteries missile launch in Midwest air base
New congress discussing the possibility of not raising the debt ceiling (could stop china from buying atre bonds)
Gold breaks through $1400.00 dollars an ounce
Silver over $28.00 an ounce
Mysterious missile launch off the coast of California
US credit rating downgraded from AA to A+ by Dangong. I still need to confirm this could be bad if others follow suit.
Hmmmmmmmm very interesting.

Here is a MSM link for the Chinese credit rating downgrade. Curious how most other MSM agencies have not reported this yet.

blogs.wsj.com...

reply to post by Longwalker


Yeah, I have to laugh at that WSJ article.

As if US credit rating agencies have any credibility after the PIIGS and mortgage crisis fiasco.

I'd take a two bit street walkers ratings over our own Wall Street propaganda services.

Bernanke is coming out saying he's going to straight up monetize over a trillion dollars with more on the way. It doesn't take a rocket scientist to figure out that solvent countries don't engage in that kind of behavior.

ETFs are also starting to get a little shaky. Bonds are hurting right now. Physical Gold and Silver are up. Wheat has hit an all time high...Matter of fact all but oil have reached record highs. Though oil will be going back to 2006-07 levels.

If you have commodity investment in silver and gold ETFs get out now. There's a lawsuit going through over silver comex manipulation and when all the info starts leaking out after discovery silver and gold are going to shoot up in price.

Take delivery not paper.

reply to post by projectvxn


Yeah, ZH was saying GLD should have purchased at least an additional 200 tons of gold if its holdings are to be believed.

Yet they haven't.

GLD EFT is a fraud.

reply to post by mnemeth1


Jim Cramer was just on CNBC screaming about how great ETFs are...

I swear if we all do the exact opposite of what that moron says we'll all be rich by the end of the week.

This is the same guy who said don't worry about China downgrading the US.

Originally posted by murfdog
reply to post by mnemeth1

 

So let me get this right. These are the current events going one in the past few weeks that we are looking at:
Supposed earth quake that was detected around the world
Bombes found on planes bound for the US (did we find the real Bombs or where they a distraction)
QE2 starts and gets harsh response from all nations; commodities are going through the roof.
Dollar falling (a 10% drop in the dollar is about a 30 billion dollar tax on Americans through price inflation
Large armada of US naval ships moved to Asian and Middle East
Most of the white house is in Asia
The Simpsons video (BS I know, but I just thought that was cool)
Israel discussing with the US new possibilities of using force to stop Iran’s nuke program
Mysteries missile launch in Midwest air base
New congress discussing the possibility of not raising the debt ceiling (could stop china from buying atre bonds)
Gold breaks through $1400.00 dollars an ounce
Silver over $28.00 an ounce
Mysterious missile launch off the coast of California
US credit rating downgraded from AA to A+ by Dangong. I still need to confirm this could be bad if others follow suit.
Hmmmmmmmm very interesting.

Iwould have left out the "Large armada of US naval ships moved to Asian and Middle East". It's a load of hot air, there have been a few threads detailing this

And why throw in a BS section of the simpsons melodrama?

Originally posted by projectvxn
reply to post by mnemeth1

 

Jim Kramer was just on CNBC screaming about how great ETFs are...

I swear if we all do the exact opposite of what that moron says we'll all be rich by the end of the week.

This is the same guy who said don't worry about China downgrading the US.

edit on 9-11-2010 by projectvxn because: (no reason given)

hahahah

Cramer is the ultimate money maker.

Just do the opposite of what he says.

The same can be said of Goldman Sachs client recommendations.

Whatever they tell their clients to do, do the opposite.

reply to post by mnemeth1


We're also seeing margin collapse from Food companies to real estate companies. They've been complaining about this for some time. Margin collapse is what will force unemployment to astronomical levels, and as price inflation grips the country to boot.

Thanks Obama, Thanks Bernanke for wasting precious time on superfluous, politically expedient actions instead of doing the right thing.

You belong in jail along with the Wall St. crooks who helped you loot the people and vice versa.

reply to post by Longwalker


thanks for the link

Reply to post by bputman

That is unfair. I play my CoD, WoW, and any other games that I fancy, almost religiously. I am also in school to be a history/government-economics teacher.


Posted Via ATS Mobile: m.abovetopsecret.com

PM Selloff Reason: CME To Raise Margin Requirements For Silver From $5,000 To $6,500

ZH reports CME raises margin requirements:

And if that doesn't work, there is always confiscation.

"CME confirmed silver margins raised from $5000 to $6500 (30%) effective 11/10 settl - no other metals effected"

Presumably, this affects the maintenance margin. And is a lovely way to kill paper longs.... but not shorts, of course.

This is also the last remaining self-regulating way for the market to tell the genocidal lunatic in the Eccles building to go fornicate himself, and his excess liquidity.