Tuesday, August 09, 2011
At least S&P's track record remains consistent
Investors obviously aren't buying into Standard & Poor's downgrading of the U.S. government. Treasury yields have actually dropped since S&P's action last week. S&P says one thing. The markets say and do the opposite. Similar to what happened to S&P's AAA ratings of subprime-mortgage securities. Preliminary conclusion: S&P has blown it again.
Investors obviously aren't buying into Standard & Poor's downgrading of the U.S. government. Treasury yields have actually dropped since S&P's action last week. S&P says one thing. The markets say and do the opposite. Similar to what happened to S&P's AAA ratings of subprime-mortgage securities. Preliminary conclusion: S&P has blown it again.
