August 8th, 2011
01:41 PM ET

Your take: Where do you stand on S&P downgrade?

[Updated at 1:41 p.m.] The inability of Congress and President Barack Obama to reach a deal to raise the debt ceiling sparked a firestorm of anger directed toward Washington. Readers said they were angry, disappointed and fed up. They had no problem about where to point the finger when it came to blame. Quite frankly there was downright outrage.

And now Standard & Poor's has downgraded the U.S. credit rating by one notch to AA+, removing it from the Triple A-club for the first time in history.

CNNMoney.com: Did S&P get it right? | Time.com: A political miscalculation

As the market reacts to the downgrade status, CNN.com wants to know how people feel about it. Grab a video camera and sound off on iReport here.

Some iReport contributors are already speaking out about the downgrade, whom it affects and how much the American public understands and cares about the issue.

Egberto Willies, a frequent iReport political commentator, says he believes that the S&P downgrade of the U.S. is “a fraud on the American middle class.”

“The reality is, Standard & Poor's and all these organizations are the same companies who rated credit default swaps that brought down the economy and forced us to get into further debt to bail out the financial sector,” he argues in his video. “They're the ones who allowed that to occur.”

Omekongo Dibinga says he thinks Americans simply don’t care what the country’s credit rating is.

“Most Americans are too busy worrying about their own credit to care about America's credit rating,” he says in his video.  “With our AAA rating, we've still had a Great Depression and a Great Recession. People have still lost their homes and thousands of jobs. Is this what our rating got us?”

Dibinga says the lowered rating may even serve as a needed wake-up call for politicians and corporations.

"Maybe this credit will be good for America," Dibinga said. "Maybe these corporate types at the top will start to think twice, but for the rest of us, we're going to wake up tomorrow and our life won't seem to have changed because of a downgrade.”

Melissa Fazli from Yorba Linda, California, sent a video reaction shortly after the S&P downgraded the U.S. credit rating. She says that everyone should pay as he goes: “No more debt.”

She says she also believes the downgrade is “a kick in the face” but hopes that people will vote for politicians who will “wake up” and “get their act together and work together.”

And those commenting on CNN.com and CNNMoney.com haven't shied away from sharing their views either. Here's a sampling of what you had to say:

"S&P was absolutely right to downgrade the US government–the country is frighteningly deep in debt. For decades, the federal government has proved itself utterly incompetent in managing the taxpayers' money and this is the result. And if government can't manage our money responsibly, it's time to cut up the credit cards–we need a balanced-budget amendment." - CNN commenter HenryMiller

" The S&P is full of it. This is the same agency that assured investors and gave excellent ratings to toxic mortgage back derivatives. They are
responsible with the banks for the finical [sic] crisis and now they are playing more games and leading us into a double dip. Make no bones, they have their own agenda. I would not be surprised if they are short-selling and making out like bandits. These people are all crooks!!!" - CNN commenter Daniel Tal

"good for S&P....you clowns in Washington want to act like fools? You get called on it!!!!!" - CNN commenter stooges999

"And they are "sticking by their decision"? Wonder if the S&P is also "sticking by their decision" on the sub-prime mortgages the touted as
AAA before the collapse in 2008???" - CNN commenter esmith3750

"Anyone who listens to S and P after the crimes they committed during the financial meltdown is an idiot" - CNN commenter Jon King

In response to that comment user Barfly52 wrote: "Looks like investors are listening. Market down 325 points in first 75 minutes."

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Filed under: Business • Economy • Finance
soundoff (1,062 Responses)
  1. Pat Rymond

    Al Gore is right: What we need is an American Tirhir (sp) Square, a non-violtent demonstration of public outragre in the U.S. Capitol. We would need laid off U.S. police and others for security to prevent the crazies from turning a peaceful demonstration into violence or serious training in non-violent resistence for all the leadership.

    Watch Current T.V. tonight to see Keith Olberman doing an update.

    August 8, 2011 at 11:29 am | Report abuse |
    • Ian

      Olbeannis an ignoramus.

      August 8, 2011 at 1:44 pm | Report abuse |
    • Ph.D. from M.I.T.

      I wish I could get Current TV. My cable company doesn't carry it – and I have asked – but nothing yet. I miss Keith. That said – I think the answer is obvious. As long as we ignore the fact that we MUST increase revenue, we are in financial danger. S&P said as much. Every reputable economist says so. By many measures we have the lowest revenue coming into the federal goverenment in generations (lowest income tax rates, lowest corpoare tax rates, etc.) and yet people continue with their delusion or their lies that we have too high taxes. Won't even consider going back to the tax rates under Clinton. Anyone remember how great the economy was then? It isn't rocket science. We just need to face facts – stop being so stupid – and stop letting the rich and powerful cause our country to go down the drain for their own ends. Look at the riots in England. If we don't stop the ever increasing gap between rich and poor in America, we will see riots in America soon!

      August 8, 2011 at 7:49 pm | Report abuse |
  2. Pat

    Will be down graded again. Should have happen years ago. Do what S&P says and cut another 2 trillion. If others want to have tax increases, please send individual checks to IRS I'm sure they will be happy to take it.

    August 8, 2011 at 11:30 am | Report abuse |
    • fbmarky

      I believe S+P also said tax increases were needed – in other words, COMPROMISE on both sides is what ti's going to take. Funny how folks only hear and repeat what they like and ignore what doesn't suit them. Very Fox News (sic) indeed.

      August 8, 2011 at 12:09 pm | Report abuse |
    • bobcat2u

      If people will be honest about it, President Obama did put four trillion on the table. But Mr. Boehner walked away from it because it contained revenue increases ( repeal of the Bush tax cuts ) in it as well. S&P said that was the langauge they were looking for, but because of the minority teaparty influence over the majority republicans, we are now in a situation we have never experienced before. I truly hope people will be intelligent enough to remember who created this new financial environment in next years elections. ( Hint : It wasn't the presidents lack of trying. )

      August 8, 2011 at 12:18 pm | Report abuse |
    • Don

      What we need are fewer crackpots like the Tea Party, this is the Tea Party downgrading of America, I hope all who voted for these idiots is happy now. Just goes to prove what I have always said, unintelligent illiterate people are unfit to govern and the Tea Party has shown this in spades, you can't send those who are mentally challenged to do the work of governing, this is the same group who sat on thier hands as GW Bush ran up the debt that has put this country in the situation it is in now. Two wars unpaid for, a one trillion dollar tax break for the rich, what else do you expect, the Republicans gave all of the wealth of this great nation to the rich and made the poor pay for each and every cent as well as with their lives, after all how many rich do you truly see on the battle fields. Are we free people or just cannon fodder for the rich who the stupid idolize?

      August 8, 2011 at 12:19 pm | Report abuse |
    • Jim

      Obama already has his tax increase. Last year the Bush tax cut was only extended for 2 years, after that they go away. If they are to be extended again it will have to be in 2012 (when they expire) and since the Democrats will still hold the Senate and the Whitehouse they won't be extended. After the election, when Obama is out, the Republicans will not have a super majority in the Senate so the Democrats will be able to filibuster and prevent a vote on re-instating them. Obama wants another increase on top of that.

      August 8, 2011 at 2:55 pm | Report abuse |
    • MikeSp

      I really have to laugh at the ignoramuses who are blaming the Tea Party for a problem that has been building for decades. Just shows how short a memory Americans seem to have. American industry suffered a one two blow back in the 70s when unions overextended their influence and liberals pushed through overbearing regulations on businesses. Things have only gotten worse since then.

      August 8, 2011 at 5:13 pm | Report abuse |
  3. RonB

    Lets see if I got this straight. S&P downgrades US bonds, so everyone sells stocks and rushes to buy ... US bonds. Sounds like the markets are their usual efficient selves.

    August 8, 2011 at 11:43 am | Report abuse |
    • Jeff

      My thoughts exactly... but the ignorant at Fox News and those who watch will tow the line blaming the downgrade on Obama and 'his' debt.

      August 8, 2011 at 12:43 pm | Report abuse |
    • MikeSp

      No actually those in the know will blame it on the Democrats and this problem has been building for decades.

      August 8, 2011 at 5:14 pm | Report abuse |
    • Ph.D. from M.I.T.

      Mike SP it is idiots like you that cause this problem. Can you really be so blind and stupid to believe the DEMONSTRATABLE lies from Fox News? Revenue is now at its lowest level in generations – and yet you and the liars at Fox news and the delusional Tea Party say taxes are to high. Just ask yourself, was the country in better financial healt in the 1950s or now? The top tax bracket in the 1950's was more than 90%. Let me quickly point out this was ONLY on the part of a person's income over $200K. Now income over $380 is only taxed at 38%. We need to adjust for inflation, but still people making over a million dollars need to pay a much higher tax rate on that millionth and one dallar and every dollar after that. Similar situations exist for large corporations. It is ridiculously obvious that big international oil companies that are making the biggest profits in the history of the world do not need subsidies from the USA, which is broke. Even a 5 year old could understand that.
      Which leads me to think that the Koch brothers or Carl Rove must be paying you to put these lies on here.

      August 8, 2011 at 8:04 pm | Report abuse |
  4. LUCKY ONE

    Many of the white feminists were trick in beliving that it will easy to get rid of ANDRE HIMES, and unaware about power guarding his life since the day he was born at SHAW AIR FORCE BASE ON APRIL 30 1965. Under racial profiling many black americans were arrested and were either martyred within the prison system or were deported to AFRICA ,where many of them martyred there and were buried in mass graves in the SUDAN and in the CONGO and it was this act as well as the rise of the hiphop nation which has contribute to the black holocaust in which much of the black human population in AMERICA and AFRICA was sacrifice. Mean while a new DEMONIC BLACK AMERICA has arisen from both the hiphop and antebellum nations and is based on sterptypical images of low class ,poverty stricken and criminally prone blacks.

    August 8, 2011 at 11:55 am | Report abuse |
    • Bob

      Bong water isn't for drinking, dude.

      August 8, 2011 at 2:01 pm | Report abuse |
    • J Ham

      If you are black like as I am, I agree with Bob, if you are White I agree with Bob. If you are other, I still agree with Bob. Because your point is... At least Bob told you what water you should not drink.

      August 8, 2011 at 5:58 pm | Report abuse |
  5. Joe Kohli

    Republican party is not taking responsibility for their actions. Some of their presidential candidates made the statement that it will not matter if we default. Their intent of expressing not paying what we owe has caused this downgrade.

    August 8, 2011 at 11:55 am | Report abuse |
    • Massbytes

      Nope, too much spending...and no reductions in sight. Think you can tax the people making 250K and above and get out of it? Nope..you could take all their money and we still would not have the minimum 4 trillion it would take just to get a good start on spending reductions. Blame who you want...it is irrelevant now.

      August 8, 2011 at 12:15 pm | Report abuse |
    • Don

      A good part of the debt we cannot pay IS the huge tax break Bush and the moronic republicans gave to the rich, yes we CAN balance the budget by putting the taxes back on te rich where they belong. The rich are paying less taxes than they did back in the 1950s, everyone else is paying higher taxes than they did then and will never see the tax breaks the republicans gave to the rich. We ABSOLUTELY need higher taxes on anyone who makes over $250k, we would recover close to 1 trillion a year if we made the rich pay their fair share of taxes, in 14 years we would have a balanced budget and not have to cut one single thing. Let the rich pay what they deserve to pay, they dont make jobs, they send them over seas, they dont contribute to the economy, they hoard their wealth so they can become even richer, eat the rich, they serve no real purpose except to keep the poor under their control, the rich need poor so they can be even richer.

      August 8, 2011 at 12:25 pm | Report abuse |
  6. Maybe

    Unlike Rome during the time of Nero.. We elected our Nero(s).. Now Rome is burning and they care not about us, but instead they care about saving face. If they truly believe they failed us as leaders then why are they running for re-election? It's their ego that is our undoing..

    August 8, 2011 at 12:00 pm | Report abuse |
  7. hand solo

    It was the mexicans. The mexicans caused this.

    August 8, 2011 at 12:01 pm | Report abuse |
  8. LossOfGravity

    Thank You Mother Bachmann for Freeing Us of our Creditworthiness. You are a Liberator! You were Right that We had nothing to Fear, "It was a Slam Dunk!" – Just like Iraq!

    August 8, 2011 at 12:08 pm | Report abuse |
  9. Dorothy

    S & P was absent when the banking sector brought the country to brink of disaster. Too big to fail! Where was the downgrade then?
    S & P appears to be influenced by the Tea Party and Republicans in Congress taking directions from Rush Limbaugh.

    August 8, 2011 at 12:09 pm | Report abuse |
  10. LUCKY ONE

    Many of the white feminist were trick in beliving that it would be easy to get rid of andre himes ,unaware the about power in heaven who has been guarding ANDRE life since the day he was born at SHAW AIR FORCE BASE on april 30 1965 Under racial profiling many black americans were arrested and were either martyred within the prison system or were deported to AFRICA and were martyred there and were buried mass graves in the SUDAN and in the CONGO and it was this act as well as the rise of the hiphop nations in what has contribute to the black holocaust in which much of the black human population was sacrifice in both america and in AFRICA. Mean while a new DEMONIC BLACK AMERICA has from both the black antebellum and hiphop nations and is based on sterotypical images of poverty and low class and criminally prone blacks

    August 8, 2011 at 12:09 pm | Report abuse |
  11. Well......

    If these politicans had to live by their own rules, regulaions and laws I bet there would be a difference how this country is run.

    August 8, 2011 at 12:10 pm | Report abuse |
  12. Randy

    S&P were at the heart of the Wall St. fraud that collapsed the economy, where they rated crummy mortgage-backed securities as AAA. They should be under federal investigation for fraud, not telling the US politicians what to do to get back in their good graces!

    August 8, 2011 at 12:12 pm | Report abuse |
  13. Petra

    @War Syndrome:

    This has nothing to do with gays in the military, ya dolt.
    Maybe you thought S&P meant something else, you dirty boy...

    August 8, 2011 at 12:12 pm | Report abuse |
  14. blue angel

    I don't know a thing about it but since I don't have any stocks, I fail to see any way that it really effects me. I think it is the republicans fault because it seems like they are just stubborn and I know they are just mean. My credit rating has taken a hit during the bad economy, so I don't know why the U.S. 's shouldn't. If you are rich enough to be "in the stock market" I guess you have the money to spare anyways. Certainly no one would be putting money they actually need into that shakey thing.

    August 8, 2011 at 12:29 pm | Report abuse |
    • John in NY

      Actually if you actually did some checking the vast bulk of investors in the stock market do so via thier 401K and other retirement plans, so it's nice of you to decide that anyone in a retirement plan can afford to loose their money.

      As for GOP vs DNC, they both share the blame and not because of this current deal either but because a significant percentage of them have been there and spending federal dollars like they were going out of style.

      I don't care for Obama or his policies but when it comes to this the House and Senate have far more influence on the budget then the President does and it is they who are responsible for most of the out of control spending.

      August 8, 2011 at 12:51 pm | Report abuse |
  15. Black Slave Voluntary Day

    The president is also included in this beautiful and remarkable offer.

    August 8, 2011 at 12:29 pm | Report abuse |
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