China’s Dagong Credit Rating Agency Downgrades US Credit Rating

China’s Dagong Global Credit Rating Company downgraded the US economy from A+ to A following the passage of the debt deal yesterday. The company said the deal doesn’t change the fact that U.S. debt growth has outpaced its economy and fiscal revenue.
The AP reported:

A little-known Chinese ratings agency has downgraded the rating of the United States from A+ to A. The move is unlikely to affect U.S. borrowing rates but reflects the pessimism Washington’s debt battle has generated worldwide.

President Barack Obama signed emergency legislation to boost the debt ceiling ahead of a deadline to avoid an unprecedented national default.

Still, China’s Dagong Global Credit Rating Co. said Wednesday that the deal doesn’t change the fact that U.S. debt growth has outpaced its economy and fiscal revenue.

Dagong is little-known outside China but hopes to compete with global ratings agencies Moody’s, Standard & Poor’s and Fitch.

Zero Hedge added that Dagong’s decision was spot on: “The decision to lift the debt ceiling will not change the fact that the U.S. national debt growth has outpaced that of its overall economy and fiscal revenue, which will lead to a decline in its debt-paying ability.

And yet conservatives are called “terrorists” for wanting to cut spending.

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  • RedBeard

    Don’t worry about it. Barry Soetoro Obama and Dingy Harry Reid have a great plan to solve everything: RAISE TAXES.

    See how simple it can be?

  • Sickofobama

    The latest talking points given to the libtards is to blame the Tea Party for that POS that Boner and Turtlehead and Obama agreed to.

    Which means the Tea Party lost.

    Attack back against the pea brains who use it.

  • a former dem

    Dear AP: since you are an American company, unlike Reuters, this may be news to YOU in hopes you can maintain your liberal bias.

    A little-known Chinese ratings agency has downgraded the rating of the United States from A+ to A.”

    Have any of your American Propoganda staff ever read any of China’s or Asia’s major publications? this is NOT a “little known chinese ratings agency”. Just because YOU’ve never heard of it doesn’t mean anything!

  • MDd

    We’ve got a Krugman economy, soon to be bludgeoned by an Obama downgrade.

  • Carbon Pootprint

    So we get more rainbows and unicorns right? Thanks Manhattanstani Media terrorist, thanks for lying Americans into another false sense of security.

  • BuddyG

    ’cause it’s more important to “spread the wealth around” than grow it

  • squeaky

    spreading the wealth around will be like throwing it down a dark hole. and you know obama won’t be spreading his wealth although he is sitting on hundreds of thousands of dollars he doesn’t need. or so he says.

  • kato

    The markets are going to start repricing US debt, and there’s nothing that the subprime grifter in the White House will be able to do about it. (Although I’m sure he’ll read lots of inane platitudes from his teleprompter.)

    By any measure, this country is far worse off today than it was three years ago. Americans should hang their head in shame for electing this left-wing criminal.

  • Mahdi Al-Dajjal

    What? The Dagong Credit Rating Agency doesn’t accept bribes to favorably fudge their analysis? Why is that? Moody’s, Standard & Poors, and Fitch have for years and still do. Even the Russians know this one!

  • jony101

    Thats a dagong shame, that we the ex-greatest world power is treated like riff raff but the tyrants of the world. We use to be respected everywhere, now the US gets as much respect as it’s beloved president.

  • Militant Conservative

    Former Dem, lighten up.

    Best save your energy and passion to preparing for the depression.

    powder is dry

  • donh

    The 2 trillion increase in our debt coming over the next 2 years will have to be near entirely funded by printing new money out of thin air.

  • #1AMERICAN

    this should make everyone pissed off….

    Pennsylvanians on public assistance now have a new ‘civil right’ — free cell phones. Meanwhile, the rest of us get to pay higher cell bills as a result.

    Recently, a federal government program called the Universal Service Fund came to the Keystone State and some residents are thrilled because it means they can enjoy 250 minutes a month and a handset for free, just because they don’t have the money to pay for it. Through Assurance Wireless and SafeLink from Tracfone Wireless these folks get to reach out and touch someone while the cost of their service is paid for by everyone else. You see, the telecommunications companies are funding the Universal Service Fund to the tune of $4 billion a year because the feds said they have to and in order to recoup their money, the companies turn around and hike their fees to paying customers. But those of use paying for the free service for the poor, should be happy about this infuriating situation, says Gary Carter, manager of national partnerships for Assurance, because “the program is about peace of mind.” Free cell service means “one less bill that someone has to pay, so they can pay their rent or for day care…it is a right to have peace of mind,” Cater explained.

    Well, the telecommunications companies don’t seem to love providing this ‘right’ to poor folks because they are trying to renegotiate the deal with the FCC. The telecommunications companies like Verizon and AT&T want more paying customers, but their desire to reform their deal with the feds dovetails nicely with the political ideology of the current FCC chairman Julian Genachowski, who like all Obama administration flunkies sees ‘rights’ where others see ‘priviledges’. Just listen to how the agency put the question of providing broadband and cell service to those in rural and poor communities. “The goal of reform is to provide everyone with affordable voice and broadband,” the agency said.

    Between 14 million and 24 million Americans lack access to broadband, “and immediate prospects for deployment to them are bleak,” the FCC said in a report last year. “Many of these Americans are poor or live in rural areas that will remain unserved without reform of the universal service program and other changes,” the report said.

    But who says that cheap or free broadband is anything more than a luxury?

    Well, another Obama flunkie, Rahm Emanuel, that’s who. As we reported in June, the new mayor of Chicago was all excited to proclaim the wonderful news of free internet service to poor kids in Chicago’s worst neighborhoods. And how could Mayor Emanuel pay for this new ‘civil right’? Well, because the federal government extorted the money from Comcast when it wanted to buy NBC-Universal. Once again FCC chairman Genachowski was all about “helping the kids” by forcing the internet provider to give poor kids free netbooks, laptops, and internet service, indefinitely. And who is going to pay for this gift? Well, of course the rest of us poor saps who actually pay our bills.

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  • REDPILLPATRIOT

    I sure can’t blame China, I wouldn’t invest in our f*cked up country! This keeps up and when the dems reduce our military budget, and gay up the military, 5 years from now we will be ready to be invaded by a billion little chinks! (did I say that out loud)

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  • Fetus Cletus

    The Tea Baggers’ manufactured debt ceiling crisis also led China to announce that they’re diversifying their foreign currency holdings.

    Thanks, Tea Baggers. Your threat to completely destroy our economic if you didn’t get your way succeeded in causing more economic problems for all Americans.

  • tommy mc donnell

    #6&#7…socialism doesn’t spread wealth if concentrates it in the hands of the people that have all the political power. that is why it is the economic philosophy of the dictator. their claim of “SPREADING THE WEALTH” is just another leftist lie.

  • AcadieAnne

    #17

    Assuming your post isn’t sarcasm, do you even understand what a debt ceiling is, let alone that there shouldn’t be one in the first place?

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