Tuesday, May 3, 2011

U.S Debt Rating Should be a "C"

U.S. debt was in the news a few weeks ago when Standard and Poor's recently downgraded the USA from "stable" to "negative". 

Today we have another rating agency that says we should be graded a "C"....when you look at our financial system and our ability to pay all of our obligations.

"A 'C' is equivalent to approximately a triple-B on the S&P, Moody's and Fitch scales. It's two notches above junk and one notch above the equivalent of a single A," Martin Weiss, President of Weiss Ratings, told CNBC Tuesday.

Weiss was quick to add that while the rating seems weak, the debt situation is not in a danger zone that would trigger panic, noting that there was still broad market acceptance for Treasury's.

The grade reflects the U.S. massive debt burden, low international reserves and the volatility in the American economy, he said.

Here it is; http://www.cnbc.com/id/42871647

Did you catch that sentence, "...still a broad market acceptance for U.S. Treasury's"? 

Here's the simple truth....when the broad market quits accepting our Treasury IOU's.....the gig is up, the Ponzi is over.  People will flee out of our system just like Bernie Madoff investors cashed it all in as rumors started swirling about Madoff's bogus financial scheme.

And once the world of investors does a run on our U.S. financial system...there will nothing to support us except the International Monetary Fund. (IMF)

That Satan dude seems to be working over time these days trying to put his last hurrah into play....and a system that requires a mark to buy or sell anything is probably closer to being a reality than most people have ANY clue of.

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