In an interview on Fox Business, Buffett said that S&P’s downgrade of the United States’ triple-A credit rating “doesn’t make sense.”
He furthered his sword into the math challenged S&P, saying “In Omaha, the U.S. is still triple A. In fact, if there were a quadruple-A rating, I’d give the U.S. that.” Buffett said Berkshire had “significant” T-bill exposure and did not plan on selling any.
“We just filed our 10Q and we have $47 billion in cash and cash equivalents. Well over $40 billion of it is in short end T-bills. (the downgrade) doesn’t tempt me to sell. We’ll stay right there.”
“Think about it. The U.S., to my knowledge owes no money in currency other than the U.S. dollar, which it can print at will. Now if you’re talking about inflation, that’s a different question.”
Finally, he checkmated S&P, saying “Remember, this is the same group that downgraded Berkshire.”
When asked whether he was worried about market gyrations Monday, Buffett said, “No.”
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That was great. Fuck S&P, lol.
fucking permabull retard… oh wait, it’s Warren Buffett, nevermind let me kneel at his feet instead.
Didn’t Buffett pay attention to the statements by the S&P that basically said the US needed to cut a trillion a year for 10 years or generate that much in excess revenue or a combination of both? Where was he saying it “doesn’t make sense” then?
And the US prints bonds not cash it owes perpetually more interest. It can issue bonds at will, but the federal reserve has to come up with the cash. They have to make a CHOICE between further inflating the currency or default, and there will be increased political pressure on congress. Also, there is global pressures on the US not being held as reserve currency which would make it a much different market and it would be replaced… they would default by hyperinflation or default.
Oh, at least one reasonable person on Fox! Of fucking course this downgrade doesn’t make sense! SnP have just got the Asshats of the Year Award.
It doesn’t make sense to someone that supports Obama because they can’t see how terrible the leadership is and how it’s the lack of leadership that can result in a failure to actually raise debt ceiling and get something done. So let me put it in eloquent words that you can relate to
“The fact that we are here today to debate raising America’s debt limit is a sign of leadership failure. It is a sign that the U.S. Government can’t pay its own bills. It is a sign that we now depend on ongoing financial assistance from foreign countries to finance our Government’s reckless fiscal policies.
Over the past 5 years, our federal debt has increased by $3.5 trillion to $8.6 trillion.That is “trillion” with a “T.” That is money that we have borrowed from the Social Security trust fund, borrowed from China and Japan, borrowed from American taxpayers. And over the next 5 years, between now and 2011, the President’s budget will increase the debt by almost another $3.5 trillion.
Numbers that large are sometimes hard to understand. Some people may wonder why they matter. Here is why: This year, the Federal Government will spend $220 billion on interest. That is more money to pay interest on our national debt than we’ll spend on Medicaid and the State Children’s Health Insurance Program. That is more money to pay interest on our debt this year than we will spend on education, homeland security, transportation, and veterans benefits combined. It is more money in one year than we are likely to spend to rebuild the devastated gulf coast in a way that honors the best of America.
And the cost of our debt is one of the fastest growing expenses in the Federal budget. This rising debt is a hidden domestic enemy, robbing our cities and States of critical investments in infrastructure like bridges, ports, and levees; robbing our families and our children of critical investments in education and health care reform; robbing our seniors of the retirement and health security they have counted on.
Every dollar we pay in interest is a dollar that is not going to investment in America’s priorities.
Senator Barack Obama
Senate Floor Speech on Public Debt
March 16, 2006
The fact that we are here today to debate raising America’s debt limit is a sign of leadership failure. It is a sign that the U.S. Government can’t pay its own bills. It is a sign that we now depend on ongoing financial assistance from foreign countries to finance our Government’s reckless fiscal policies.
Over the past 5 years, our federal debt has increased by $3.5 trillion to $8.6 trillion.That is “trillion” with a “T.” That is money that we have borrowed from the Social Security trust fund, borrowed from China and Japan, borrowed from American taxpayers. And over the next 5 years, between now and 2011, the President’s budget will increase the debt by almost another $3.5 trillion.
Numbers that large are sometimes hard to understand. Some people may wonder why they matter. Here is why: This year, the Federal Government will spend $220 billion on interest. That is more money to pay interest on our national debt than we’ll spend on Medicaid and the State Children’s Health Insurance Program. That is more money to pay interest on our debt this year than we will spend on education, homeland security, transportation, and veterans benefits combined. It is more money in one year than we are likely to spend to rebuild the devastated gulf coast in a way that honors the best of America.
And the cost of our debt is one of the fastest growing expenses in the Federal budget. This rising debt is a hidden domestic enemy, robbing our cities and States of critical investments in infrastructure like bridges, ports, and levees; robbing our families and our children of critical investments in education and health care reform; robbing our seniors of the retirement and health security they have counted on.
Every dollar we pay in interest is a dollar that is not going to investment in America’s priorities.
An American patriot and hero.