Really, S&P

In today’s Wall Street Journal is an article entitled “Interest-Rate Cuts a Fresh Jolt for Consumers.” An S&P economist makes the following observation:

“People are going to feel less rich and that will make them hold back on spending, which would be a further blow to the economy,” says Beth Ann Bovino, a senior economist at Standard & Poor’s.

Wow, Ms. Bovino, really? Well, I guess the consequence is pretty obvious since your firm lowered the U.S.’s credit rating.

Do not expect the consumer to come to the rescue by shopping, shopping, shopping. Many consumers are in debt and are concerned about maintaining their jobs.

More belt tightening, less spending. A double dip recession right around the corner?

Thanks for nothing, S&P.

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