The Gig Is Up ?

By Renee

One Dollar Bill depicting an alarmed President George Washington

The gig is up. Sell offs in European countries reported.

S & P reports US debt has been downgraded from stable to poor.

From BBC link above:

The US has been warned that the credit rating on its government debt could be cut by Standard & Poor’s.

S&P is concerned that Democrats and Republicans will not be able to agree a plan to reduce the growing US deficit.

It has downgraded its outlook from stable to negative, increasing the likelihood that the rating could be cut within the next two years.

The US Treasury responded that S&P had underestimated its ability to tackle the national debt.

“Because the US has, relative to its ‘AAA’ [top-rated] peers, what we consider to be very large budget deficits and rising government indebtedness and the path to addressing these is not clear to us, we have revised our outlook on the long-term rating to negative from stable,” the agency said in a statement.

The surprise move sent US and European shares lower. The S&P 500 fell the most in a month, and the US dollar dropped against the euro and Swiss franc. Oil was also sharply lower.

In Europe, the main UK, German and French indexes all fell by at least 2%.

The US federal deficit currently stands at $1.4tn (£858bn) and is expected to reach $1.5tn in the current fiscal year.


Well, here we are. Is it time to get serious and cut our budget now ? In the RIGHT places ?

40 responses to “The Gig Is Up ?

    • A real stunner.

      S&P just downgraded the US debt outlook to negative.

      Stocks just moved violently lower.

      Still, the current debt outlook is stable.

      In addition to the market impact, this will probably have a big impact on the US debt debate.

      Gold spiked on the news:

      Here’s the full note (via ZeroHedge)

      Free Republic above link

  1. Mission Accomplished, re Obama Administration!

    • Yep. You are right Skeeter. Look in here for the numbers for the last 2 years…..

      • It should be absolutely clear that the growing national debt and continued federal budget deficits are a threat to our economy and a clear and present danger to our way of life. President Obama took office with a $10 trillion debt and a $740 billion federal budget deficit. Two years later the national debt is $14.2 trillion and the federal budget deficit has reached $1.6 trillion. Mr. Obama and the Democrats insist that we need to keep spending, even though our debt will exceed our Gross Domestic Product (GDP) before the end of this year. They insist that rolling back the George Bush era tax cuts for those making more than $250,000 per year and reductions in defense spending is the path to a solution.

        The truth is that the additional revenue potential from rolling back those cuts would only equal a maximum of $64 billion per year. The risk to jobs in our economy by increasing tax rates on many small businesses that are taxed as individuals, S-Corporations, is extremely high. There could easily be a spike in unemployment as those business owners adjust their planning to preserve their net income.


    “The Obama administration moved swiftly Monday to downplay ratings agency Standard & Poor’s downgrade of its U.S. credit outlook, calling the decision a political judgment that should not be taken too seriously.

    The timing of S&P’s announcement was unwelcome for the White House, coming just as President Obama tried to regain the initiative on the deficit debate in Washington.

    Last week Obama laid out his plan to reduce the budget deficit by $4 trillion over 12 years, trying to give markets confidence that he was serious about tackling U.S. fiscal woes.

    House Republican leader Eric Cantor on Monday called the S&P downgrade ‘a wake-up call’ against those seeking to ‘blindly increase’ the U.S. debt limit.

    S&P downgraded the outlook for the United States to negative, saying it believes there is a risk U.S. policymakers would not reach agreement on how to address the country’s long-term fiscal pressures by 2013.”

  3. Obama Embarks on Tour to Sell Debt Plan, Not Dwell on S&P
    Apr 19, 2011

    President Barack Obama begins a tour promoting his proposal to cut long-term budget deficits with a new urgency after Standard & Poor’s warned that the nation’s AAA credit rating is in peril.

    Obama is scheduled to spend three days traveling[campaigning] through states crucial to his 2012 re-election campaign to publicize his plan to reduce cumulative deficits by $4 trillion over 12 years. The plan includes spending cuts on defense and domestic programs and calls for raising taxes on the wealthy. While Obama’s trip that begins today with a town-hall meeting in Virginia is partly billed as an effort to gain support for cuts in popular programs, Obama administration officials said they don’t expect him to refer to the S&P report unless he is asked. [Why not talk about your abominable record Obama? But destroying the economic system is what they set out to do!]

    He will hold town-hall meetings at 10:15 a.m. today in Annandale, Virginia, and later in the week at Facebook Inc.’s headquarters in Palo Alto, California, and in Reno, Nevada.

    The White House downplayed the negative outlook, saying it was based on a faulty appraisal of the political climate.

    Paul Begala pointed to the ratings agencies’ instrumental role in amputating the U.S. economy at the knee as evidence that “it’s difficult to know how much credibility S&P should be given.”

    [Yeah, blame your destructive policies on the political climate and not your incompetency. S & P must be demonized now for their accurate forecasting.]

    • He needs to go on tour to sell it! Must be as good as Obamacare. He needs to go to Facebook on his tour? This sounds like money well spent by the taxpayers! Will they have to stack the halls at his townhalls? Perhaps they are paying them to attend this year.

    • On the other hand, we know only too well how much credibility to give Obama and his minions like Begala: ZERO!

    • Obama Embarks on Tour to Sell Debt Plan, Not Dwell on S&P

      Of course Bridgette, Soros says keep on spending….
      Ever wonder if Soros likes watching train wrecks ?

  4. Tea Party Congressman Scolds Christiane Amanpour and Media for Not …
    By Noel Sheppard | April 17, 2011 12:55

    Tea Party Congressman Joe Walsh (R-Ill.) had quite an illuminating discussion with Christiane Amanpour Sunday.

    As the host of ABC’s “This Week” pushed for higher taxes, Walsh correctly pointed out that Barack Obama’s first 2012 budget proposed earlier in the year didn’t address entitlement programs saying, “The President of the United States ought to be ashamed of himself, and I don’t know why your profession hasn’t gotten on him more” (video follows with transcript and commentary):

    WALSH: But, and Steve will say this, in the ’80s government revenues went up. We didn’t cut spending. Revenues went up in the ’80s. Every time we’ve cut taxes revenues have gone up, the economy has grown. Look, Christiane, I’ve said this before. The President of the United States ought to be ashamed of himself, and I don’t know why your profession hasn’t gotten on him more. Two months ago he presents a budget and doesn’t even talk about entitlement reform. And then all of a sudden last week he gets a redo? The Republicans are leading on this, perfectly prepared to take whatever political hits we have to take, because the crisis is so severe. I wish he’d be a part of this.

    • The Republicans are leading on this, perfectly prepared to take whatever political hits we have to take, because the crisis is so severe. I wish he’d be a part of this.

      Sort of says it all Bridgette. Great catch.

  5. The new Left talking points are that the economy was in ICU when Obama took over and the stimulus will take effect by the time the election comes around and so he will be reelected.

    The Stimulus has been a joke and was a huge cost to taxpayers for nothing. Hope and change… how’s that workin’ for ya? Marxist change is for anti-Americans and doesn’t reflect the core values of the majority of Americans.

    New Poll: 57% disapprove of how Obama is handling the economy!
    45% will NOT vote for him in the poll. I think it was 23% not sure…and the remainder will vote for him. That 23% sitting who are sitting on the fence are they just learning about the guy they helped put into the WH?
    I believe it was an ABC poll. Will try to locate. Info from FOX

    • the economy was in ICU when Obama took over ????

      Well, let’s put it this way, before the election people had JOBS, AND could go to the grocery store AND gas station AND have a SMALL bit to live on….how is it NOW ? The blame it all on Bush garbage is stale…judge for yourself people. Wake up. Are we better off today or even the same as we were 2 years ago ?
      Answer these questions to yourself. You be the judge…

  6. What kind of crisis are they going to create? Why isn’t the media condemning this? It’s supposed to happen in 60 US cities and also world wide this weekend.

    New Black Panthers Plan Massive Egypt-Style Protest & Boycott of ‘Non-Blacks’

    The New Black Panther Party, the racist and radical black power group, has a big day ahead of it this coming Saturday. According to its website, it’s planning a massive 60-city “showdown.“ And the day of rage will include a protest of ”non-black” businesses.

    The group says it’s establishing a home base at an office building in Harlem, an area it’s modeling after revolutionary ground zero in Egypt.

    • Kathy ? Are you kidding me ? now they want to start race wars here ? No, the real, black America will not be stupid this time. No, they love our country, values and life. They will see that they are being used like tools for this. I believe they thrive on chances to grow in this country, but the right way. These people have grandparents that are very Christian. You know the type. Go to school, get good grades, go to College, get up for church, and Sunday dinners. Tuck in your shirt and stand up straight. Be more.
      This group of Americans will never fall for this. They have worked too hard, are too smart and are good people. No way. Also, think of all the people in our country that are mixed…..They will not fall for it either. This has just gone too far. Someone wants to see Americans hurt each other ? They are sick puppies.

      • I agree completely. It has to be the African-American (AMERICAN) people themselves who have to stand up to these thugs along with help from other races. America is not racist! We are in a battle against Socialism and Communism. America is the land of opportunity. We want opportunity for all. We are all AMERICANS!

    • What does Dr. Manning have to say? That is his home too!

  7. He is busy preparing to protest Trump. He has forgotten about the Constitution and our Country and is only thinking of himself.

    Posted on Tuesday, April 19, 2011 1:23:04 AM by OUTKAST

    Dr. James Manning is fighting back against Mikki Booth ,Neil Turner, and Post & Email for stealing his research.

    Says he will march on Donald Trump if his information that he originally researched comes out.

    • Dr. Manning Insulted By His House Guests

      April 18, 2011

      Et tu Brute? Dr. Manning
      18 April 2011

      • Uh, refresh my memory. Where did Manning get his evidence? Isn’t this a corpus of work that’s been built by MANY, many hands, working away day in and day out, looking for EVIDENCE, which all willingly share? There are many such offenders and thieves, but what’s the goal here? Can we worry less about credit and more about saving our Republic?

        What’s your take on this?

        • Something is perhaps an earlier You Tube. So we aren’t being told what has transpired between him and the others. I thought everyone was sending Trump information from all sources. It wasn’t just one person gathering information. It was thousands that were putting information together

          I added another You Tube that may answer the questions of the 2nd video. Start the 7:24 spot on the first one, as I think this is where the problem lies. He wasn’t acknowledged in the briefing packet that was sent to Trump with all the information from the different people. Neil Turner’s information for Occidental, Columbia was sent rather than Dr. Manning’s information. He feels insulted, no one called him to say secret meetings were going on. Apparently he believes that someone else is making a presentation to Trump and it should be him. Maybe another meeting with Trump has taken place. I don’t know why he didn’t call them about it once he became aware of the packet being sent.

          • I’d forgotten that the Post & Email reported a meeting like that. And that somebody’s sending a packet of information to Trump.

  8. I think I just heard the stupid of the year award winner. I wonder who this stupid plan was hatched by ? Listen to this one. You truly cannot make this up. China is our number one debt holder-1 trillion and change. Now, here is the interesting part. We BORROW money from China then lend it to Taiwan to protect themselves from China.
    Sooooo, let me get this straight… if China wants to loan us some more dough, tighten the noose, make good interest, make us more indebted to them, then what do they do ? Why, they just frighten Taiwan and growl at them a bit or something ?…. coooollllll ….how easy, ggrrrrr….No wonder Donald Trump goes off about China. Wow, do they teach this crap in schools ? How to be stupid 101 ? I must have skipped that class thank God, or my check book would be hot.
    It was on Greta- FOX w/ Bolton; Fmr. Amb. to the U.N.
    I am trying not to laugh. Our money is being thrown down a sewer pipe of stupid. Tthis is so stupid to me that I cannot imagine it at all…It is more stupid then stupid can even be. I swear I am trying not to laugh but I am.
    National security ? This is how it GOES…..

    • If you’re unfamiliar with the Primary Dealers, these are the 18 banks at the top of the US private banking system. They’re in charge of handling US Treasury Debt auctions and as such they have unprecedented access to US debt both in terms of pricing and monetary control.

      The Primary Dealers are:

      1. Bank of America

      2. Barclays Capital Inc.

      3. BNP Paribas Securities Corp.

      4. Cantor Fitzgerald & Co.

      5. Citigroup Global Markets Inc.

      6. Credit Suisse Securities (USA) LLC

      7. Daiwa Securities America Inc.

      8. Deutsche Bank Securities Inc.

      9. Goldman, Sachs & Co.

      10. HSBC Securities (USA) Inc.

      11. J. P. Morgan Securities Inc.

      12. Jefferies & Company Inc.

      13. Mizuho Securities USA Inc.

      14. Morgan Stanley & Co. Incorporated

      15. Nomura Securities International Inc.

      16. RBC Capital Markets

      17. RBS Securities Inc.

      18. UBS Securities LLC.

      Of this group four banks in particular receive unprecedented favoritism of the US Federal Reserve. They are:

      1. JP Morgan

      2. Bank of America

      3. Citibank

      4. Goldman Sachs

      You’ll note that these are the firms deemed “Too Big To Fail.” The Fed not only insured that they didn’t go under during 2008, but in fact allowed these firms to INCREASE their control of the US financial system.

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