Standard and Poor Punts a Blow to the U.S Economy

Whatever you might think downgrading of the U.S. credit was a blow to the economy. Saying that the spending plan that sprung finally from Congress didn't make the grade. The atempt they made to raise the nation's borrowing limit wasn't high enough to offset the deficit spending.

Standard and Poor said "The downgrade reflects our opinion that the fiscal consolidation plan that Congress and the Administration recently agreed to falls short of what, in our view, would be necessary to stabilize the governments medium-term-debt- dynamics."

Moody Investors Service and Fitch Rattings also has said a downgrade is possible if Congress doesn't reduce the debt.

S&P could also make another downgrade on April 18th of Congress does not reach a deficit reduction plan by 2013 that cuts an additional 4 Trillion dollars.