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. Jim Murphy

    Triple A is who should be called...the government has stalled.

    August 8, 2011 at 3:57 pm | Report abuse |
  2. hank

    S & P made a 2 trillion dollor mistake and still downgraded the US; seems to me that they are tring to make America fail. All of you people that are happy about this just remember if the US fails we all fail.

    August 8, 2011 at 3:57 pm | Report abuse |
  3. John N Florida

    "I got 98% of what I wanted. I'm satisfied." – John Boehner
    Guess what, John. Nobody else is.

    August 8, 2011 at 3:58 pm | Report abuse |
  4. Ken Bradshaw

    What S&P did was a lot like crying fire in a crowded theater. They caused a reaction that was not justified. There is nothing in the bargining before the debt ceiling was raised that indicated US debts would not be honored. In fact, a key point is that despite the acerbic argument, the ceiling was raised just as most people expected. S&P has taken wrong precedent giving an opinion of future politics. That can not be their job. That belongs to the voters. All that is definite is that the process has worked up to this point. And yes it has worked to this point – no matter who you favor.

    August 8, 2011 at 3:58 pm | Report abuse |
    • John N Florida

      S & P was reacting to the acrimony around the raise. 86 times since 1950 the ceiling has been raised. G.W. did it twice in one year.
      86 times it was essentially done on one sheet of paper. Nobody held anyone or anything hostage to politics.
      86 times there were adults in the room.
      Boehner's problem is he only has 180 Republicans, not enough for a majority.
      The Democrats have 192, not enough for a majority.
      Boehner can NOT control the 3rd party who have 64 votes. He WON'T compromise with the Democrats because he's afraid of a right wing Tea Party attack in a Primary fight.
      Eric Cantor is sitting back, licking his lips at his chance to get the Speaker's gavel and Boehner can feel the hot breath on his neck.
      Boehner can be a short lived Speaker and Statesman or he can be a single term Speaker in charge of a Do Nothing Congress.

      August 8, 2011 at 4:08 pm | Report abuse |
  5. sunnye

    Who didn't see it coming?
    Congress made a special effort to prove
    how dysfunctional and irresponsible they
    could be.

    August 8, 2011 at 3:59 pm | Report abuse |
  6. MMB

    If President Obama had prevailed in the negotiations and got the "big" deal that had in it significant cuts and revenue, we would be a AAA. The Republicans care much more about power than about what is beat for the country.
    That is the truth.

    August 8, 2011 at 4:00 pm | Report abuse |
    • John N Florida

      It's not that simple. I agree with you on the deal that could have been.
      The Republican problem arises from their down sizing of Reagan's 'Big Tent'. The party is now down to a 'Pup Tent' and the fringe elements hold an undue proportion of clout. This is the Republicans own fault.
      Regan's 'Big Tent' allowed him to tell the John Birch Society to 'get bent'.
      Now, in the 'Pup Tent', the Tea Party is telling the majority what to do.

      August 8, 2011 at 4:13 pm | Report abuse |
  7. idream

    Are we in a worse situation than 2008-09? If there was no downgrade then ,how come one now? Standard & poor can apply for a new name ,"Poor Standards"

    August 8, 2011 at 4:00 pm | Report abuse |
  8. RedTeam

    S&P took a beating from Washington over their rubber stamping of investment grade toxic mortgages. Now that they can turn the tables they took their revenge for the ego bruising. This isn't the first dubious call made by Standard & Poor's and its not like their objectivity has been beyond reproach either. Yes D.C. is cluster of oxygen thieves, but the reality of party squabbling and budget problems is nothing new. Ego trips are nasty things, in D.C. and the investment world, I just hope both worlds put down the crack pipe and snap back to reality.

    August 8, 2011 at 4:01 pm | Report abuse |
  9. Mike

    We should hurt S&P any and every way possible. They are an enemy of The United States.

    August 8, 2011 at 4:01 pm | Report abuse |
    • The Chief

      S&P is NOT the problem. The downgrade is only a symptom of the problem. Career politicians and lawyers are the problem.

      August 8, 2011 at 4:14 pm | Report abuse |
    • Mike

      S&P has hurt the U.S. far beyond what can be considered a measured response. They need to be hurt in any and every way possible.

      August 8, 2011 at 4:47 pm | Report abuse |
  10. LDPOPINION

    The S&P is a total joke. Remember folk, they gave a big ole thumbs up to the whole mortgage debacle.

    A small note for the White House to remember... something my parents told me when I was just a little girl. "What someone with do FOR you... they will do TO you."

    It doesn't make them any less of a joke.

    Honestly, I don't know what everyone is freaking out over TODAY. The debt a week ago is the same as it is today. WHY IN THE HELL ARE YOU GIVING THIS COMPANY SO MUCH POWER. They are nothing. The People who run it are nothing. The obviously know nothing since ...agian.... the whole mortgage debacle.

    It's an opinion, and not even from smart people. I think I'll go home and ask my dog what he thinks.... god knows I trust him more.

    August 8, 2011 at 4:02 pm | Report abuse |
  11. LDPOPINION

    The S&P is a total joke. Remember folks, they gave a big ole thumbs up to the whole mortgage debacle.

    A small note for the White House to remember... something my parents told me when I was just a little girl. "What someone will do FOR you... they will do TO you."

    It doesn't make them any less of a joke.

    Honestly, I don't know what everyone is freaking out over TODAY. The debt a week ago is the same as it is today. WHY IN THE HELL ARE YOU GIVING THIS COMPANY SO MUCH POWER. They are nothing. The People who run it are nothing. The obviously know nothing since ...agian.... the whole mortgage debacle.

    It's an opinion, and not even from smart people. I think I'll go home and ask my dog what he thinks.... god knows I trust him more.

    August 8, 2011 at 4:04 pm | Report abuse |
  12. john john k

    that's what happens when the whole nation listens to whackos who make an issue about the president's birth certificate instead of focusing on the real issues facing the nation.

    August 8, 2011 at 4:04 pm | Report abuse |
  13. Devin

    S&P have their own propaganda I'm sure. Investigate how many of them sold before the downgrade. God bless our military!

    August 8, 2011 at 4:05 pm | Report abuse |
  14. Barbara

    Purely political. Stand your ground, Tea Party!

    August 8, 2011 at 4:05 pm | Report abuse |
    • Mike

      UNBELIEVABLE.

      August 8, 2011 at 5:10 pm | Report abuse |
  15. wesmorgan1

    1) S&P and the other "rating bureaus" are the same folks who rated all of those mortgage-backed securities as "Investment Grade," then triggered the financial crisis by downgrading them to junk status. These bureaus hype stocks in return for huge rating fees. Why, exactly, have none of THEM gone to jail for the fraud their ratings perpetrated?

    2) "I got 98% of what I wanted." – Speaker of the House John Boehner (R-OH) If you read S&P's analysis, they single out the protracted poltiical BS inflicted upon us by the Republicans.

    3) Amazingly, countries with higher debt ratios (against MUCH smaller GDPs) continue to receive AAA ratings from these clowns. There's no consistency to be found in their "analysis."

    4) If you want to feed the conspiracy theorists, S&P is owned by McGraw-Hill, whose CEO is an ardent support of...Mitt Romney. If you're looking for a reason behind S&P being the only rating bureau to take this step...

    August 8, 2011 at 4:06 pm | Report abuse |
    • Mike

      Like Leichtenstein?

      August 8, 2011 at 5:11 pm | Report abuse |
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