While Spain and Italy make real cuts, we are facing some serious paybacks on the stock market tomorrow for not making any real cuts. The Nikkei is down about 1.2% which isn’t bad considering. They are counting on QE3.
We now have a AA+ rating with a negative outlook, which means we are facing another downgrade if we don’t get our fiscal house in order. Moodys is planning a downgrade soon.
Peter Schiff* states the case in this video. He is the anti-Krugman strategist.
*Peter David Schiff (pronounced /ˈʃɪf/; born March 23, 1963) is an American investment broker, author, financial commentator, and was a candidate in the 2010 Republican primary for the United States Senate seat from Connecticut.
Schiff is CEO and chief global strategist of Euro Pacific Capital Inc., a broker-dealer based in Westport, Connecticut and CEO of Euro Pacific Precious Metals, LLC, a gold and silver dealer based in New York City. He frequently appears as a guest on CNBC, Fox News, and Bloomberg Television and is often quoted in major financial publications and is a frequent guest on internet radio as well as the host of the former podcast Wall Street Unspun, which is now broadcast on terrestrial radio and known as The Peter Schiff Show. (Wiki)