Credit crisis of 2008 and 2009 created from rating agencies own shoot-self-in-foot credibility issues unfolding...
S&P choice was people doubt their credibility, doubt their preparedness to call it as it should be called, or call it as it needed to be called.
Mid to Long term S&P ratings credibility benefits from lowering the USA's rating, it was a necessary call.
Real challenge belongs to US Congress.
USA President Obama needs work with what Congress gives him, fair enough President Obama has some tools available, however Congress needs provide him the ammo to take into battle.
S&P can only comment as to whether in opinion of S&P the US government is actually addressing their problems.
S&P's downgrading of the United States confirms S&P intends concentrating on the relevance of Congress budget towards the problems.
USA economic recovery, then world economic recovery, depends upon team efforts.
US Congress needs address issues as a single team, not a rabble.
For Oz, expect Monday, probably Tuesday, to be "short sellers" days, until we learn how US then EEC markets react.
Some of our Warrants and Options perhaps more interesting.
