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Senate (Dems) Reviewing S&P Downgrade

From a cackling Reuters:

Senate panel reviewing S&P downgrade

By Rachelle Younglai and Richard Cowan
Tue Aug 9, 2011

WASHINGTON (Reuters) – The Senate Banking committee has begun looking into last week’s decision by Standard and Poor’s to downgrade the U.S. credit rating, a committee aide told Reuters on Monday.

The aide said the panel was gathering information about the S&P move but no decision had been made on whether it will hold hearings into the downgrade.

While an official investigation has not been launched, the aide said that all options were being weighed…

You can bet the Democrat Senators be happy to bring back waterboarding for these evil S&P ‘wreckers.’

Senate Banking Committee Chairman Tim Johnson, in a statement, called S&P’s downgrade an "irresponsible move" that could have a far-reaching impact.

The Democrat said the downgrade may "have spillover effects that tax the American people by increasing interest rates on home loans, credit cards, and car loans, and by increasing the cost of finance for some state and local governments." …

What does a Democrat have against taxing.

(By the way, this is the same Tim Johnson who had that seemingly debilitating stroke a few years back.)

Meanwhile, White House Spokesman Jay Carney told reporters that he was not aware of any administration conversations about clamping down on S&P and other ratings agencies through tougher regulations

Which probably means conversations have occurred.

Credit rating agencies were widely criticized for fueling the 2007-2009 financial crisis by assigning top ratings to securities that were backed by subprime mortgages, which then plummeted in value as the housing market collapsed…

Again, this is a minor detail that was seldom mentioned when the Democrats were using the credit rating agencies to stampede the Republicans into voting for raising the debt ceiling.

This article was posted by Steve on Tuesday, August 9th, 2011. Comments are currently closed.

7 Responses to “Senate (Dems) Reviewing S&P Downgrade”

  1. River0 says:

    More proof of the shocking financial illiteracy of the Democrat/Progressives. If Standard &Poors turned around tomorrow and said, “Never mind”, it wouldn’t make the least difference. The whole world is onto us now, and ways our so-called ‘leaders’ are looting the system to stay in power. It’s really stunning, the criminality of the Ruling Class in Washington D.C., the EU, and elsewhere.

  2. Dupree says:

    So the Dems believe they can intimidate S&P into reversing the downgrade? S&P is merely interpreting the economic environment the Dems have caused by refusing to cooperate on spending cuts. Makes sense though, Dems are only concerned with optics, not reality.

  3. proreason says:

    Sometimes, you just have to laugh.

    When the can-opener is turned on, your dog starts dancing around.

    When something doesn’t go their way, the democrats turn on the investigations.

  4. BigOil says:

    In times of crisis – Democrats must ask themselves – what would the Soviet Union do? Well, they would conduct show trials and intimidate. Problem solved.

  5. JohnMG says:

    …..Senate Banking Committee Chairman Tim Johnson, in a statement, called S&P’s downgrade an “irresponsible move” ……

    You’re right about Tim Johnson’s past medical problems, so speaking of irresponsible moves, allowing him to serve on this committee seems uber-irresponsible. But what would be even MORE irresponsible would be for S&P to once again intone that things were just peachy-keen as they have in the past.

    Even the most closeted, home-grown economist knows what S&P finally admitted to in their latest report. This country is a poor credit risk, and getting worse all the time. Truth be told, A-plus is probably too high a rating.

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