“ Last August, Standard & Poor’s downgraded the U.S. government from its triple-A rating, sparking a plunge in stocks. Robert Prechter, founder of Elliott Wave International, says another downgrade is likely in the cards.
“One is pretty likely eventually, because there’s plenty of [government] borrowing continuing and not much plan about how to pay it back,” he tells Yahoo.
“That’s the normal course of business in terms of governments all over the world. Some are a little faster than others, such as Greece, Spain, and Italy, but we’re in the same pack. Our government spends money it doesn’t have.”
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