MidnightWatcher – Prophecy in Motion

“Fears over the U.S. recovery reached a new high as the country was slapped with an unprecedented warning that its debt rating could be downgraded because of an inability to tackle its massive budget deficit.

In a major blow to President Obama and the U.S. economy, leading ratings agency Standard & Poor’s revised its long-term outlook from ‘stable’ to ‘negative’. It is the first time S&P has done this since it was formed in 1941 – the year of the Japanese attack on Pearl Harbor.

The ratings giant also said there is a one in three chance that in the next two years it will downgrade the coveted gold-plated AAA rating that the U.S. has enjoyed for the past 70 years.

Stocks continued to tumble around the world today as the impact of the announcement spread. Japan’s Nikkei 225 index slid 1.5 per cent to 9,413.99; Hong Kong’s Hang Seng index was down 1.4 per cent to 23,502.29 and South Korea’s Kospi gave up 0.4 per cent to 2,129.42.”  Read more.