All of the ratings agencies are thoroughly corrupt. Their "ratings" are political diatribes devoid of financial analysis and releases are made in collusion with short-term market participants.
S&P Cut Proves Absurd as Investors Prefer U.S.
Four months after Standard & Poor’s stripped the U.S. of its AAA credit rating and said the world’s biggest economy was no longer the safest of borrowers, dollar- denominated financial assets are doing nothing but appreciating. Government bonds have returned 4.4 percent, the dollar has gained 8.6 percent relative to a basket of currencies, and the S&P 500 Index of stocks has rallied 1.7 percent since the U.S. was cut to AA+ from AAA on Aug. 5. The cost for the nation to borrow has fallen to record lows since S&P said the U.S. was no longer risk-free, with the average monthly yield in November on 10-year notes below 2 percent ... (full story)
- Posted: Dec 19, 2011 9:01am
- Submitted by:Category: Fundamental AnalysisComments: 5 / Views: 1,596