The EFSF got downgraded today, putting them in the downgrade club–crowded with almost every single western nation save Germany. Having said that, does it even matter? If the new gold standard for everyone is AA+, what purpose does AAA serve? It seems to me that after the US was downgraded to AA+, the new standard that everyone else has been measured by is AA+. Anyone stuck with a rather unfortunate AAA are simply targets for a soon to be determined credit downgrade. Yes?
The purpose of the EFSF is to issue bonds to bail out everyone. Question: will central banks shy away from committing heinous acts of irresponsibility because S&P credit analysts finally awoken from their decade long slumber? I think not.
The ratings agencies are more irrelevant now than ever before. Their downgrades only sting when they loom. However, when they are completed, all parties seem to discard them as something stupid or worse, corrupt.
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yeah agree those fuckers load up on index puts, put their shit downgrade out and make a shitload
Only losers blame that
The markets are completely broken.
nope only losers say that
Pardon me Fuckface.. I traded very successfully for over 21 years, and now have determined that the time I spent trading/investing in stocks is better served innovating “real” products where by my good fortune is not controlled by space alien robots who are schizophrenic.
i win….a lot.
still, the markets are broken.
the markets aren’t broken they’re fixed
ha
fair enough
Well, the idea that someone within the Euro system could have a higher credit rating than the US is just silly, so I view this as nothing more than catch up and expect more to come.
AAA for countries that can’t print their own currency, but only AA+ for the most dynamic economy in our planet’s history? That makes perfect sense.
Let’s just pretend that AAA is the new A+++
What rating does iBC carry?
iBC carries an XXX rating
That is a low and degrading standard!
Alphabetically of course!
Does a US earnings recession matter? We’re going to get a big one in Q1. My company sales are off 40% now y/y in January and up to 70% in some markets.
If the new golden standard is AA+.
And most everyone is rated AA+.
The printing presses may get turned on again.
AAA will still allow a lower rate for raising capital though.
(For awhile. Untill nobody gives a hoot.)
Someday everyone will be junk.
In the year 2020:
-BBB and below is the new AAA.
Great post El Capitan.
Joey’s Rating Service just downgraded S&S and Moody’s from 1b to 1c.
Joey says they lost their “Less than credible” rating because this month’s payment to Joey’s was a day late and a dollar short.
Joey’s Rating System
1a) Spot On
1b) Less than credible.
1c) Whatever.
1d) Yea, right.
1e) You’ve got to be kidding me.
1f) Damned Liars!
1g) FU asshole
With Joey’s, you’re always #1. (TM)
S&P
At Joey’s
“We get it right,
eventually.”
lolol
the market anticipated this rating drop is all. Were you truly surprised by this announcement? No? Thus, we shouldn’t be surprised the market wasnt surprised. Surprise!
Senor Tropicana,
They DO NOT MATTER. Which is why I nominated them for ASSHAT of the year…..
Bravo says:
December 15, 2011 at 1:23 pm
I’m a little late to this conversation, but if I could add my 2cents, I’d vote for the
S&P credit agency as the Asshat of the year.
They absolutely caused the most consternation in the market heading into the August budget deadline, everyone fearing the imminent downgrades. They were the talk of the world markets. Late to the fuckery in the mortgage mess, antithetical to the ongoings of congress.
Throw in the late to the party downgrades of the PIIGS, and now the shock and outrage of failing European economies, and I do believe you have found your Asshat of the year.
Credit agencies, particularly the S&P has been rendered irrelevant. The President had to step aside, and the mud-sliniging at these assholes for the “leaks” should not go unnoticed. I can’t imagine a more suitable award.
While I abhor Corzine, it is still to early to decide his fate, as much as I am sure what it should/will be. Also Corzine and the MF debacle isn’t any worse at this stage than the fuckery in US banks.
Off topic…
Any “news” outlet who posts online should have a comment feature.
I read dozens of articles daily. Most of it is pure tripe e.g. (http://www.weeklystandard.com/blogs/valerie-jarrett-blasts-republicans-pulpit_616821.html)
I am convinced most of this nation is comprised of fucking retards.
The critical thinkers don’t deserve what is coming.
The ratings agencies are engaging in classless, cheap, attention seeking behavior. Like celebrities and politicians, they crave the spotlight and whatever action results. And to the point- who needs investment grading advice on a country? I think buyers of this debt are probably big boys and already know the situation and their trading strategy. On the other hand, ordinary citizens are largely passengers on the economic bus of their country, but what are they going to do? Leave the country because it is now a “B”?
the ratings agencies,not brought to you by kelloggs,but brought to you by way of “we didnt see the housing bubble.who rated mbs aaa+”, those guys. rating’s agencies are just like fico scores,a control device.
indeud
TPTB can reduce your wealth by a factor of close to 100%. If you are in the top n’th percent, you are still rich compared to your peers. The status quo will be maintained for the uber elite.
That is unless, the lower classes (read 99%) get pissed off and kill off the robber barons before they turn on each other.
or stop buying their records …
http://youtu.be/G3DubA86paw
.
This honeybadger market does not give a shit about downgrades.. Higher we go.
Now that you mention it, ratings mean a lot less with agencies being a lot like stock analyst’s, and their after-the-fact downgrades.
Now, EARNINGS this and the next few weeks will matter.
Market needs a serious catalyst.
Do the Ratings Agencies Matter?
Fuck no!!!
China quaterly GDP .2% better than forcasts, (8.7% vs. 8.9%)
Is this a reason to rally the futures?
Be careful with your long trades.
I am keeping my positions to a quick in and out with a larger and larger percentage in cash.
Just one of those feelings.
Mainland China really had a short squeeze on the news, also remember volume is light this week in China as everyone gets ready for the holiday. The GDP news sparked a rally in AUD and Euro..the eur/usd has historical short interest so a short squeeze is easy. Anyway, imho even though the futures are up BIG tonight, SPX at 1299.90, I expect selling of the eur/usd pretty soon in that 1.2760ish range it did last week and this rally should fade, even though I “feel” bullish..hate feelings.
On this special day, let’s remember the old Negro Space Program:
http://youtu.be/T6xJzAYYrX8
.
If I have to vote between Obama and Romney, I’ll write in Ron Paul. I voted for Perot back in the day. I will continue to waste my vote until all the fools get a clue.
Also, Schick Quatro offers a far superior shave to the Gillette Mach 4. My pubes say so.
I INSIST that if you believe MCD is doling out poison that you set Wood and that other lunatic straight on this ridiculous thread.
http://ibankcoin.com/news/2012/01/16/mcdonalds-employee-films-rat-in-bag-of-buns-video/#comment-39723
I will firmly address this nonsense tomorrow.
Paula Deen has type 2 Diabetes..surprise! Bourdain thinks her ladle is an armed weapon against America with her diet.
yea, i like how he diss’s paula,would like to see him dis zimmerin,cause he’d fit in well with the flys’ post about mcd, because he would rather eat the rat and the shit
The big story of the night is Natural Gas. Currently down .12 or 4.5% to 2.55
NG drillers are going to get demolished tomorrow!
The ratings agencies are more irrelevant now than the SEC ever was.
downgrade=bullish, rating agencies matter 🙂
“Anyone stuck with a rather unfortunate AAA are simply targets for a soon to be determined credit downgrade. Yes?”
Believe it or not Australia was upgraded by S&P last month. Funny but true.